Israel GDP Q4 2017

Israel: Second release confirms economy wrapped up 2017 with solid growth

A second release by the Central Bureau of Statistics (CBS) on 11 March confirmed the economy ended 2017 on a strong footing, supported by robust growth in exports and end-year fiscal stimulus. Economic growth in the fourth quarter was confirmed at a healthy 3.6% in seasonally-adjusted annualized (SAAR) terms, moderating from the third quarter (Q3: +4.0% SAAR). In addition, full-year economic growth was revised upwards to 3.4% (previously reported: +3.3%).

Household spending, which accounts for more than half of total output, slowed significantly from the third quarter and was revised downwards to a timid 1.0% (previously reported: +1.3% SAAR; Q3: +7.0% SAAR). The moderation was due largely to weaker purchases of durable goods and a fall in automobile sales. Government spending, on the other hand, was revised upwards to a steep 10.7% increase (previously reported: +9.7% SAAR), rebounding from the 2.8% contraction in the third quarter. Fixed investment was revised up but still underwhelmed, declining 4.4% in the quarter (previously reported: -5.5% SAAR; Q3: +2.6% SAAR) on flagging residential investment and a sharp drop in industrial capital spending.

Meanwhile, the external sector contributed 2.3 percentage points to overall economic growth in the quarter (previously reported: plus 2.2 percentage points; Q3: minus 2.6 percentage points), reflecting buoyant export growth and a marked slowdown of imports. Exports of goods and services grew a revised 9.9% in the fourth quarter (previously reported: +7.7% SAAR; Q3: 11.9% SAAR), while growth in imports of goods and services was also revised considerably upwards to 2.5% in the quarter (previously reported: +0.5% SAAR; Q3: +21.3% SAAR).

On an annual basis, economic growth was confirmed at 2.9% in the fourth quarter, up from the 2.2% logged in the third quarter.

Israel GDP Forecast

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest