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Israel sees sharp decline in GDP growth in Q2

by | Aug 19, 2024

Jerusalem: Growth figures issued on Sunday by Israel’s Central Bureau of Statistics indicated a deep fall in the state’s economy following a sharp rise in the first quarter.

Israel’s GDP rose in the second quarter by 1.2 per cent compared to the GDP in the first quarter, which had risen by 17.3 per cent, Xinhua news agency reported.

On an annual basis, a 1.4 per cent shrink was registered in the Israeli GDP compared to the same period last year.

The data also showed that private consumption spending in Israel increased by 12 per cent in the second quarter, much lower than the 26.3 per cent rise recorded in the first quarter.

Gad Lior, a senior analyst at the Yedioth Ahronoth newspaper, told Xinhua that the low growth figures indicate that the Israeli economy has not recovered from the consequences of the Hamas attack on October 7 last year.

The worrying trend was also reflected in the import of goods and services, decreasing by 11.1 per cent in the second quarter, after an increase of 32.7 per cent registered in the first quarter.

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