According to the figures release by the Central Bureau of Statistics of Israel (CBS), the year 2022 was awesome for Israel. Israel managed to have a growth rate of 6,5%. The OECD average is 2,6% growth for the year 2022. Any investor who would bow away of Israel, must be regarded as mad and nut. And for sure, that want happen.
According to the CBS the quarter 4/22 (+5,8%) was not so good, but far better then the OECD average. However, the outlook is rather bleak, but only in relative terms. CBS prognoses an economic growth of 3% for 2023. With the background of a global recession and war in Europe, it is impressive.
Between 2020 and 2021, an 8.6% increase was recorded, following a 1.9% decrease between 2019 and 2020 due to the COVID pandemic.
Finally, the current balance of the government sector shows up with an amazing surplus of 7.8 billion NIS. In the year 2021 Israel produced a deficit of 54.2 billion NIS as a result of Covid. The reasons for the surplus are: The costly measurement because of Covid stopped, the state increased its revenues aka tax income and the state companies can also create a surplus, as on VonNaftali reported. However, the task of the state is not to make profits at the expense of its citizen.
Conclusion: Even if the growthrate slows done in 2023, it is better than the growth rate of the OECD. Only the mayhem caused by the irresponsible left in Israel can damage the economy. Seen from this – seen within a global perspective and relation – it is very unlikely that investors and global companies will shun away from Israel just because of a judicial reform.
That would be a mad and unreasonable decision of global investors and companies aka harming their own interests. So, that would not happen, because investors have many qualities, but for sure not to act unreasonably by minimizing their prospect for profit.