Israeli press review: Expanding wars spark concerns over economy and air defence capacities

A 2025 report from the Bank of Israel indicates the country's economy has been significantly impacted by ongoing wars, despite showing some resilience. Since October 2023, Israel's economy recorded an 8.6 percent loss of GDP, amounting to about 175 billion shekels, with the overall debt-to-GDP ratio growing by over 8 percent. The primary drivers for this economic strain are massive security expenses and a reduced labor supply from mobilized reservists and the exclusion of Palestinian workers. The report also noted a decline in per capita income and a negative immigration trend for the years 2024-2025.