JERUSALEM, July 17 (Reuters) - The Tel Aviv Stock Exchange said on Wednesday it would and expand clearing services in foreign currency as part of its strategy of evolving the capital market in alignment with international standards.

The move will allow public companies to raise money from the public in foreign currencies such as dollars and euros.

It is among a number of moves the stock exchange is implementing to strengthen its global profile. It may adopt Friday trading to overlap better with Europe and the United States, and is requiring companies to report dividends on a per share basis, rather than the overall distribution amount.

It will also enable stock exchange members to settle over the counter transactions in foreign currency, and give Israeli and international investors access to a wide range of actions such as redemption and interest and payment for tender offers in foreign currency.

It said that mutual fund managers would be able to issue mutual funds, including money market funds, that are denominated in foreign currency as a way of offering the public exposure to a variety of additional investment vehicles.

Foreign investors will be able to buy shares and bonds via OTC transactions directly in their own local currency, without the conversion need to shekels, while the government and public companies that conduct their main business in foreign currency will be able to issue shares and bonds and settle the issuance consideration directly in foreign currency, the exchange added.

At the same time, investors will be able to receive interest on bonds and redemption payments directly in foreign currency, eliminating substantial conversion costs for both the investors and the public companies.

"The aim is to offer the general public, public companies and investors a broader and more diverse range of activities on the Israeli capital market," the exchange said.

(Reporting by Steven Scheer; Editing by Alison Williams)