While Israel has weathered the past two years well, economically speaking, experts note areas of caution like flow of funds, inflation, housing prices, cost of living
Shoshanna Solomon is The Times of Israel s Startups and Business reporter
Israeli air force aerobatic team fly during a military training for the upcoming Israel s 73rd Independence day in Jerusalem, on April 12, 2021 (Photo by Yonatan Sindel/Flash90)
As Israel celebrates its 73rd birthday the nation seems to be winning the battle against the deadly coronavirus pandemic, emerging from a series of lockdowns with a battered economy and massive unemployment, but still in a better situation that it could have been in without its booming tech sector.
Israel’s gross domestic product contracted by 2.5% in 2020 due to the pandemic, with enforced social distancing shuttering businesses and economic activities. Unemployment shot up to its highest level in at least 50 years, to an average of 15.7% for the year, compared to a record low of 3.8% in 2019. Private consumption dropped by 9.5%, and GDP per capita by 11%. The government deficit ballooned to 11.6% from 3.7% in 2019, and the debt-t