Posted 3/31/2024, 2:21:15 PM
Prolonged Conflict Strains Israel's Finances, Central Bank Warns of Economic Risks
- Israel's rising defense spending poses economic risks and higher debt levels
- War with Hamas entering 7th month, straining finances and increasing debt-to-GDP ratio
- Debt-to-GDP ratio rose 1.4 pts to 61.9% in 2023, hurting Israel's finances
- Central bank governor warns rising yields, currency devaluation, inflation could result
- Netanyahu calls for budget changes to meet defense needs and boost weapons self-sufficiency