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Story summary
- The International Monetary Fund projects Israel's economy will grow by 4.8% in 2026 after a Gaza ceasefire ended a two-year conflict with Hamas.
- Growth has accelerated since the ceasefire, driven by increased private consumption and investment, though regional tensions and high defense spending pose risks.
- Finance Minister Bezalel Smotrich said responsible fiscal and monetary policies are essential, and the Bank of Israel would adjust policy if inflation rises unexpectedly.
