Israel's War Costs Strain Economic Stability

Rising borrowing costs and credit downgrades pose long-term challenges as Israel's financial architecture feels the impact of prolonged conflict.

Israel's war-related expenses have reached 100 billion shekels, with projections suggesting a rise to 250 billion by the end of 2025.
Credit ratings downgrades and increased debt insurance costs are exacerbating Israel's economic strain.
Israel's debt-to-GDP ratio has risen to 67%, with a government deficit of 8.3% of GDP, surpassing previous expectations.
Foreign investment in Israel has declined significantly, with global funds' ownership of Israeli stocks at a decade low.
The Israeli government is increasing local investment, particularly in the tech sector, to mitigate economic pressures.