Finance Minister Bezalel Smotrich on Thursday threatened the country’s banks that he would double a proposed tax on their excess profits to 30%, should they cancel any benefits or financial relief schemes for customers.

“I saw a threat from the banks that they will cancel benefits for consumers if the tax is imposed on them,” Smotrich said. “If benefits for consumers are canceled, I will double the tax from 15% to 30%.”

Smotrich, earlier this week, announced plans to introduce a law to tax commercial banks 15% on excess profits as he accused them of taking advantage of high interest rates to boost their profits, especially during the challenging war period, and vowed to break their hold.

Israel’s commercial banks, including Hapoalim, Leumi and Discount, have raked in record profits over the past two years as they continued to cash in on high interest rates, credit fees and other charges paid by thousands of households and businesses mired in war and economic hardship during the war with the Hamas terror group.

Hapoalim shares dropped 4% at the close of trading in Tel Aviv on Thursday, but are up a whopping 76%........

© The Times of Israel