Bank of Israel Chief Expects Contraction Worse Than 6% This Year

Bank of Israel Gov. Amir Yaron says the economy will apparently contract more than the 6% recently forecast by the central bank’s research department, because further closures will be required to manage the Covid-19 pandemic.

  • Weekend closures will each cost the economy 1.8 billion shekels, and output could contract 9% this year if there’s a second total lockdown in the fall, Yaron said in an interview late Saturday with Kan TV
  • Finance Ministry officials see GDP shrinking this year between 5.9%-7.2%, according to a report in the Calcalist newspaper, with Israel failing by 2023 to recoup growth lost to the crisis
  • NOTE: July 17, Israel to Close Beaches, Shops at Weekends With Virus Resurgent

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