Israel rolls out $540 million high-tech relief plan to shield exporters from strong shekel
New framework focuses on runway extension and productivity investments.
Finance Minister Bezalel Smotrich and senior ministry officials presented on Tuesday a plan to strengthen Israel’s export and high-tech industries, totaling approximately 1.6 billion shekels ($540M), against the backdrop of a strengthening shekel. The final plan does not include the option of paying taxes in dollars.
According to the Ministry of Finance, the goal of the plan is to help the export and high-tech industries cope with the impact of the stronger shekel, preserve the competitiveness of the Israeli economy, and continue strengthening its main growth engines.
Among the measures presented is the allocation of approximately NIS 1 billion for a rapid assistance track for startups and growth-stage companies, through matching grants that will extend their runway, support continued growth, and help maintain activity in Israel. In addition, an inter-ministerial committee will be established to conduct an in-depth examination of measures to preserve the global competitiveness of the Israeli high-tech industry and to assess structural changes ahead of the formulation of the 2027 state budget.
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The program also includes NIS 175 million for investment in advanced industrial machinery and equipment through grants under the Law for Encouraging Capital Investments and the Advanced Productivity and Production Track. A further NIS 25 million will be allocated to support exporters through expanded activities of the Israel Export Institute and additional grants. Finally, the “accelerated depreciation” benefit will be extended to exporting industrial companies at an estimated cost of approximately NIS 360 million.
