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Israel's Economy Plummets 3.5% After Iran Conflict

8/18/2025

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Summary

Story summary

Israel's economy shrank by 3.5% in Q2 2025, following a 12-day war with Iran.
The conflict caused widespread business shutdowns, affecting GDP: private consumption fell 4.1%, government spending decreased 1%, and fixed capital formation dropped 12.3%.
Exports and imports declined by 12% and 3.5%, respectively.

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Story summary

Israel's economy shrank by 3.5% in Q2 2025, following a 12-day war with Iran.
The conflict caused widespread business shutdowns, affecting GDP: private consumption fell 4.1%, government spending decreased 1%, and fixed capital formation dropped 12.3%.
Exports and imports declined by 12% and 3.5%, respectively.