Israel GDP Growth Slows, Still Tops OECD Countries
Israelis spent more in 2018, but the country’s growth has stalled compared to 2017
In 2018, Israelis spent more, but the country’s economic growth slowed. Israel's gross domestic product (GDP) for 2018 increased by 3.2%, compared to a 3.5% growth in 2017, and a 4% growth in 2016, according to initial and incomplete data published Monday by Israel's government Central Bureau of Statistics. A 3.2% growth still lands Israel the top spot among OECD countries.
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GDP per capita growth in Israel came in below the OECD average. With a 2% population growth, GDP per capita in the country came at $41,400 for 2018, a 1.2% increase compared to 2017. OECD average for the year stood at 1.9%.
Tel Aviv. Photo: Orel Cohen
Private spending went up 2.1% in 2018, compared to 1.4% in 2017, and 4.3% in 2016. Basic household expenses went up 1.3% per capita.
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Export of goods and services went up 4% in 2018, compared to 5.1% in 2017 and 1.4% in 2016, and industrial export went up 1.5%. Tourism revenues went up 4.7%, compared to 12.4% in 2017.
The Israeli government deficit went up from NIS 6.3 billion in 2017 to NIS 32.1 billion in 2018: 0.5% of the country’s GDP in 2017, 2.4% in 2018. The U.S. had a 3.4% deficit in 2017. State revenues went down 0.8% in 2018, compared to an increase of 7.1% in 2017.