The occupation’s economic stagnation may last for a long time.. How did Israelis and Arabs comment? | economy
Arab and Israeli tweeters reacted to what was published by Haaretz newspaper about Israel suffering from an economic recession that may last for a long time, despite continuous talk of a complete victory by Prime Minister Benjamin Netanyahu.
The newspaper pointed out that the Israeli economy shrank by 1.5%, according to official estimates, and the war also caused a significant decline in exports and investments, which directly affected the country’s gross domestic product.
The newspaper said that all major credit rating agencies lowered Israel’s credit rating, due to high budget deficit rates and continued large spending on the war.
Standard & Poor’s warned that the Israeli economy may record zero growth in 2024, while weak growth of 2.2% is expected in 2025.
With the downgrade of the credit rating, it has become difficult to borrow money at appropriate interest rates, which will affect the financing of reconstruction projects or even fill the growing budget deficit.
Even after the war
According to Haaretz, budget deficit expectations for 2025 have reached record numbers, and the newspaper indicates that economic challenges will remain even after the end of the war.
A paragraph from the Shabakat program (10/8/2024) monitored some of the interaction of Arab and Israeli tweeters with what was published by the Israeli newspaper, including what Aaron wrote, “Poor financial policies and the lack of rational management of state resources will destroy us… Where are we heading with this economic recklessness?”
As for Bart, he believes that his country’s Prime Minister, Benjamin Netanyahu, “is taking a risk to achieve his achievement at our expense. The economy has been damaged, and he still aspires to eliminate Hamas terrorism.”
As part of the Arab interaction, Abdel Aziz tweeted, “All fears of the continuation of the war and its high cost on lives and the economy… the area may expand and turn into a regional war that may destroy the global economy.”
While Karima believes that “war does not bring anything good…whether you are victorious or defeated,” she added, “The occupation that has control over Gaza and all of Palestine has forgotten that it will also be harmed economically.”
Haaretz says that the global economy has not yet been affected, but the war with Iran may lead to a complete change in the picture. If Israel responds to the barrage of Iranian missiles that it launched last week by striking Iranian oil facilities, the world may lose 4 million barrels of oil per day, or about 4%. Of the world’s total oil.
