Bloomberg: ‘Israel’s’ Economy Hits Decades-Low Amid Gaza War

By Staff, Agencies

Bloomberg reported Friday that "Israel’s" economy is under increasing strain as the ongoing Gaza genocide continues, with businesses and workers feeling the growing impact of the war’s devastation on Palestinian life and livelihoods.

For nearly two years, repeated military call-ups have left companies short-handed. Nimrod Vax, co-founder of the data-intelligence firm BigID, said at one point 20% of his company's 600 employees, a quarter of them in "Israel", were serving in the IOF. 

"There's been a noticeable impact on our long-term projects and on research and development," he said. "Key talents were away."

The mobilization of up to 130,000 reservists, roughly 3% of the workforce, has hit small and medium-sized businesses particularly hard. 

Ron Tomer, president of the Manufacturers Association of "Israel", observed, "If you're a small business, a few absences can imminently shut you down."

But while "Israel's" economy contracts, the far greater collapse is unfolding in Gaza and the West Bank. Under constant bombardment, siege, and mass displacement, the World Bank has described the Palestinian economy as suffering "its deepest contraction in over a generation."

Gaza’s Health Ministry reports over 65,000 Palestinian martyrs since October 2023, with many calling it genocide. Widespread destruction has shattered Palestinian economic life.

The war is isolating "Israel" as the EU considers suspending trade perks, and France and Saudi Arabia push for Palestinian recognition. “Israeli” exporters say European clients now avoid public ties, preferring private talks.

"Tel Aviv" stocks fell after Netanyahu urged greater self-sufficiency amid growing isolation. Though he softened his stance, investors remain wary of the conflict’s economic and diplomatic impact.
 

The economic toll hits individuals hard. Yaniv Ptaya, a Chinese medicine practitioner, was drafted thrice and closed a clinic after six months away. Or Epstein, co-founder of Wonder Robotics, balances night military shifts with his civilian job, saying he’ll report again out of duty and experience.

As "Israel" faces a 7% economic shortfall compared with pre-war forecasts, a blow comparable to the 2008 financial crisis, Palestinians in Gaza are enduring mass death, famine conditions, and economic annihilation. 

Many observers argue that "Israel’s" economic wounds are self-inflicted, the direct result of sustaining a war widely regarded as genocidal.