After two years of war, Israel faces economic headwinds

France 24Tuesday, October 7, 2025 at 3:56:55 PM
After two years of war, Israel faces economic headwinds
Israel's economy has demonstrated unexpected resilience despite the ongoing war and political challenges. The TA-125 stock index has reached record highs, and GDP growth is projected to increase. However, the costs of war have soared to nearly $89 billion, and the country faces significant risks from a brain drain in the tech sector, rising debt, and a growing international backlash, including trade threats from the EU and shifting public opinion in the US against further aid. This situation is crucial as it highlights the delicate balance between economic performance and the impacts of prolonged conflict.
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