Financial

In the aftermath of a Houthi attack on a vital sea crossing, sea freight prices from China surge by 12%, impacting Israel's economy. In recent developments, the Houthi rebels in Yemen pose a significant threat to Israel, not only through direct missile attacks but also by potentially closing a crucial shipping lane – the Bab al-Mandab strait. This strategic waterway facilitates the passage of 6.2 million barrels of oil per day and 10% of global trade

Intel has revealed a comprehensive investment plan in collaboration with the Israeli government to bolster its production capabilities in Kiryat Gat. This development involves an additional $15 billion investment in the plant, supplementing the $10 billion commitment made in 2019. The multinational corporation will construct a new chip factory, supported by a substantial $3.2 billion grant disbursed over several years, constituting 12.8% of the total investment

In a surprising move, credit rating company Ma'alot S&P announced today that it is elevating the rating of the aerospace industry to A-, just six months after boosting it to BBB+. The company attributes this change to the aerospace industry's resilient operational performance, which remains robust despite the ongoing war and reserve mobilization

In an abrupt change, the price of fuel in Israel skyrocketed overnight by 28 shekels per liter, reaching a staggering NIS 7.22 per liter for Octane 95. This surge comes after a decision made at noon in a Ministry of Finance meeting to not extend the discount on the current price, effectively ending a fuel subsidy through tax reduction that lasted for a year and a half

In a groundbreaking move, State Comptroller Mattaniho Engelman is recommending a comprehensive reassessment of Israel's fixed inflation target, which has remained unchanged at 1% to 3% per year for two decades. The recommendation comes as inflation exceeded the government's target, leading to deviations that could significantly impact the state budget and corporate financial planning. Engelman's call for a reevaluation is grounded in the recent economic developments, particularly the surge in inflation post-COVID, with the inflation rate reaching 5.3% in 2022. The State Comptroller's...

In a surprising move, Solaredge, a prominent player in the renewable energy sector, has unveiled plans for an extensive streamlining program, involving the layoff of 900 employees, with 550 job cuts in its home base, Israel. This amounts to a significant 16% reduction in the company's workforce, which currently stands at around 5,500 employees

In a recent hearing at the Knesset's finance committee, Professor Amir Yaron, the Governor of the Bank of Israel, voiced apprehensions regarding the potential downgrade of Israel's credit rating. Prof. Yaron acknowledged the increased risk premium since October 7, emphasizing the necessity for the government to implement challenging measures in the 2024 state budget to address economic concerns

In the wake of escalating tensions between Turkey and Israel, a growing number of Israeli consumers are expressing concern about unwittingly purchasing products with Turkish origins. While the import of certain goods like tomatoes and vegetables from Turkey has been halted, many popular international brands continue to manufacture products in Turkish factories, raising eyebrows among Israeli shoppers

In a decision reached during today's Electricity Authority plenum meeting, the electricity prices in Israel are set to increase by 2.6% starting February 1, 2024. The approval follows a three-week public hearing process and aims to address various challenges, including economic difficulties due to the ongoing war

Teva Pharmaceutical Industries, a leading pharmaceutical giant, has announced a notable annual revenue growth of 6.2% for 2023, bringing in a total of $15.8 billion. After enduring five consecutive years of decline, this resurgence is attributed to a substantial advance payment of $500 million received from Snoopy Pharmaceuticals as part of a collaborative effort on an innovative anti-TL1A drug