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Israel's Economy Struggles Amid Soaring Military Spending

6/20/2025

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Summary

Story summary

Israel's economy is feeling the pressure from relentless military conflicts with Hamas, Hezbollah, and Iran. With military spending skyrocketing by 65% to $46.5 billion in 2024, the government has raised taxes to cope. While unemployment holds steady at 3% and the high-tech sector shows some resilience, the shadow of long-term economic uncertainty looms large.

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Story summary

Israel's economy is feeling the pressure from relentless military conflicts with Hamas, Hezbollah, and Iran. With military spending skyrocketing by 65% to $46.5 billion in 2024, the government has raised taxes to cope. While unemployment holds steady at 3% and the high-tech sector shows some resilience, the shadow of long-term economic uncertainty looms large.