IMF report on the harmful effects of the continuation of the war on the Israeli economy
reported by Mehr News Agency quoted Al-Mayadin, due to the continuation of the wars that the Zionist regime has waged in Lebanon and Gaza, the International Monetary Fund has published negative forecasts about the economic growth of this regime this year and next year.
According to this report, the International Monetary Fund has predicted that the economy of the Zionist regime will grow by only 0.7% in 2024, which is much lower than the previous forecasts of the fund, which was a growth of 1. He expected 6 percent. This is despite the fact that the economic growth in 2023 had reached 2%.
Also, for 2025, the International Monetary Fund has forecast economic growth to reach 2.7%, which is half of what was previously expected, and means negative growth and Economic contraction.
These figures represent a sharp decline from the IMF’s previous forecasts last April, when the Israeli economy was expected to grow by 1.6 percent this year and 5.4 percent next year. be.
On the other hand, the data of the statistics center of this regime, which was published last week, shows that the consumer price index decreased by 20% last month and the inflation rate reached 3.5%.
This report comes in the World Economic Outlook released by the International Monetary Fund on Tuesday.
The report says: “Israel’s economy is in a state of increasing uncertainty due to regional conflicts.”
This report continues: “Fiscal forecasts are based on the fact that in the short term government spending will increase and will be used to support the economy and cover military expenses, but it is expected that the measures help reduce the budget deficit after 2024.”
Earlier this month, the Israeli Ministry of Finance reported that the budget deficit in the twelve months ending in September reached 8.5 percent, up from 8.3 percent in August. .
The ministry has announced an increase in the budget deficit due to “increasing war expenses against the Gaza Strip” from October 2023.
The Zionist regime has resorted to the international debt markets several times to obtain the necessary liquidity to finance the war and cover its budget deficit.
In a report, the “Associated Press” news agency pointed out the heavy economic costs of the Zionist regime due to the continuation of its wars against Gaza and Lebanon.
Detailing these financial losses, this news agency has focused on the skyrocketing military spending, halting economic growth, especially in dangerous border areas that have been evacuated.
This news agency quoted economic experts as saying that “Israel may face reduced investments and increased taxes, as the war has put pressure on the government’s budget and forced this regime to He has chosen between social and military programs.”
