Bank of Israel: 45% of Arab households are below poverty level - The gap from the Jews is widening

The households of the Arabs in Israel are very vulnerable in relation to the households of the Jews, and accordingly suffered more severe damage during the Corona period, according to a report published by the Bank of Israel. The main reasons for this are low income and savings and lack of adequate infrastructure.
The report noted that even before the corona, the Arab household was vulnerable: its average monthly income in 2018 was NIS 12,000 on average, compared with 18,000 in a Jewish household - a gap of 32%. 45% of Arab households are below the poverty level. Only in 29% of Arab families with children do both spouses work, compared with 66% in Jewish households, and 56% of workers are seasonal workers without a contract or manpower, compared with 28% of Jewish workers.
The low incomes also affect the level of savings: 40% of Arab households reported being in debt, compared with 10% of Jewish households. If you look at households with similar income and demographic characteristics: an Arab household saves NIS 2,100 less each month than a Jewish household. 12% of Arab households do not have a bank account, compared with 1% among Jewish households, and 6% of bank account holders are blocked - three times their share among Jewish households.
This, according to the Bank of Israel, makes it difficult for Arab households to obtain credit on favorable terms during a crisis and they are forced to turn to unregulated entities. Thus, at the beginning of the Corona crisis, 46% of Arabs reported that they did not have liquid money, compared to 23% of Jews (excluding ultra-Orthodox).
This vulnerability was expressed according to data from the Bank of Israel during the Corona period: 54% of Arabs reported a deterioration in the economic situation, compared with 42% of Jews. The injury is mainly in hired men, aged 44 and over with children. 26% reported that they reduced their food consumption, compared to 14% of Jews.
The impact of the corona was also reflected in students: only 30% of Arab households have high access to distance learning infrastructure, compared with 75% of Jews (excluding ultra-Orthodox). 41% of parents reported that their children did not regularly participate in distance learning, and 15% of parents reported that their children's classes did not have distance learning at all.
33% of Arabs report harm to the mental state of their children, compared to 23% of Jews. Gaps were also observed in students studying higher education: among Arab students, the rate of participation in classes dropped from 74% to 48%, a sharper decline than among Jewish students. The Bank of Israel notes that the severe damage to the continuum of studies in Arab society may deepen inequality.