Israel's GDP Growth Slows in Q4

2025-02-17 11:24 By Kyrie Dichosa 1 min. read

The Israeli economy grew at an annualized rate of 2.5% in the three months to December 2024, slowing from an upwardly revised 5.3% expansion in the previous quarter, according to first estimates.

The slowdown was primarily due to a sharp deceleration in fixed investment growth, which cooled to 14.7% from 29.2% in the prior period.

Net trade also weighed on GDP, as imports surged 17.2% (vs. 15.7%), while exports grew at a more moderate pace of 6.2% (vs. 3.6%).

Meanwhile, private consumption rose more rapidly (9.5% vs. 8.9%), and government spending rebounded strongly (7.3% vs. -3.3%).

On a quarterly basis, the economy expanded 5.3%.

For the full year, Israel’s GDP recorded an annual growth of 1%.



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