Torah Community Connections

2002 Economic Performance in Israel Worst in Five Decades

Economic figures released last week indicate that Israel has suffered its worst economic performance since 1953. The Gross Domestic Product index fell 1%, the second annual decline in a row. This performance placed Israel last among the developed nations.

Another symptom of economic regression is unemployment. In 2002, 60 factories and 150 high tech firms closed in Israel. In addition, the tourism industry continues to suffer as a result of the security situation. Unemployment has risen to 10.4%. These factors in turn have caused a significant downturn in wholesale and retail purchasing.

Forecasters predict that 2003 will be another difficult year for the Israeli economy.