The political outlook will remain challenging, given the fractious nature of Israeli politics and growing tensions between the parties in the ruling coalition. Fresh elections are likely before the due date of 2017.
Although the extra expenditure incurred as a result of the Gaza war will slow the pace of fiscal consolidation, the budget will move into surplus by the end of the forecast period, helped by rising revenue from gas.
Despite its recent slippage, the New Israeli shekel will appreciate against the US dollar over the forecast period as a whole, reflecting a growing contribution from offshore gas and sizeable current-account surpluses.

Highlights 7

Political outlook 8

Economic policy outlook 10

Economic forecast 11

Annual data and forecast 14

Quarterly data 15

Monthly data 16

Annual trends charts 18

Monthly trends charts 19

Comparative economic indicators 20

Basic data 21

Political structure 22

Politics 23

Economy 52

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