Beyond the Headlines
A Growing Nation of Continued Well-Being and Prosperity
Israel ranked sixth in healthcare efficiency according to latest Bloomberg annual health care-efficiency index
The report released this month also announced Israel as the highest in health care efficiency in the Middle East, with one of the highest life expectancies at 82.
Israel’s population reaches 8.9 million, up by 2%, since last Rosh Hashanah
In 1948, the year of independence, Israel’s population was little more than 800,000. Today, it stands at over 8.9 million, according to data published by the Central Bureau of Statistics on September 4, 2018 and reported by the Jewish Syndicate.
Israel’s startups have raised over $4 billion in the first eight months of 2018, well on course to beat last year's record of $5.24 billion
The country’s startups raised nearly $300 million in August and an estimated $650 million in July, according to IVC-ZAG. This sum can be added to the more than $3.1 billion that Israeli startups raised in the first half of 2018, on track to beat last year’s record, as reported by Globes.
Israel gets NIS 17.6 trillion valuation
The State of Israel is officially worth more than 17 trillion shekels or NIS 17,638,763,277,054 to be precise, Finance Minister Moshe Kahlon revealed on August 14, 2018 as he opened trading on the Tel Aviv Stock Exchange (TASE).
Standard & Poor’s gives Israel its highest-ever rating
The ratings agency cites steady growth, improved fiscal outlook in decision to upgrade Jewish state's credit score to AA- according to The Times of Israel (August 2018). Prime Minister Benjamin Netanyahu hailed the upgraded rating as “a reflection of the strength of the Israeli economy.” In a statement after S&P announced the move, Finance Minister Moshe Kahlon said, “In the last three years, the Israeli economy has soared to the best macro data in its history. The confidence expressed in us by the strongest economic bodies in the world enables us to continue to grow the economy.” (Israel bonds are not rated)
Moody's raises rating outlook for Israel
Moody's has joined Standard & Poor's (S&P) in raising its rating outlook for Israel from ‘stable’ to ‘positive.’ According to Globes, Moody’s states the change means that there is a good chance that Israel's rating will be upgraded in the next 12-18 months, for the first time since 2008. If the raised outlook does result in an upgrade, the rating, currently at A1, will rise to Aa-, the article went on to read. Minister of Finance Moshe Kahlon said, "The rating outlook upgrade is further evidence of the strength and stability of the Israeli economy. All the data indicate that the economic policy that we are pursuing, including a free and responsible economy alongside strengthening the middle class and poorer sections of society, is the right way." (Israel bonds are not rated)
Israel first-quarter 2018 GDP revised up to annualized 4.5 percent growth, reported by Reuters
This growth, faster than previously forecasted, was boosted by gains in consumer spending, investment and export, the Central Bureau of Statistics said in a second estimate.
Life Sciences Industry in Israel Soars
A comprehensive report by Israel Advanced Technology Industries and PwC on the life sciences industry in Israel has shown dramatic growth. The sector currently has 1,450 active companies compared to 800-900 five years ago. A record $1.2 billion was raised in 2017 from local and foreign funds, public offerings, investments by private equity funds, and support from the Israel Innovation Authority. The capital raising was 40 percent higher than in 2016 and 400 percent more than a decade ago. According to the report, $656 million was raised in rounds of more than $20 million last year, compared to $452 million in 2016.
This increase was significant because larger financing rounds enable drug companies to conduct advanced clinical trials and companies with less complex medical devices to build marketing apparatuses.
Volkswagen Opens Tel Aviv Innovation Center
German carmaker Volkswagen (VW) opened a Tel Aviv innovation center to promote the development of autonomous vehicles, new mobility services, and tailor-made solutions. The VW campus will be a co-working space called Konnect, and will provide local partners and mobility-based startups direct access to the Volkswagen group for business collaborations as well as support in mentoring and consulting. Volkswagen Group chief customer officer Peter Harris remarked, “I am a strong believer in the technological innovations being developed within the Israeli market and I am convinced that they can help us reach our goal of being one of the global market leaders in sustainable mobility. Konnect is another step in expanding our activities in Israel and will help our portfolio of brands engage with the Israeli start-up ecosystem.”
Israel officially surpassed Japan in gross domestic product (GDP) per capita, Prime Minister Benjamin Netanyahu reported in June 2018
Israel enjoys GDP per capita of $42,120 – which is calculated by dividing the country’s total economic output by its number of people. In contrast, Japan’s GDP per capita is $40,850.
The prime minister added that unemployment was at an all-time low, or at 3.7% in February 2018. Many economists deem it a state of “full employment” – when the economy is such that all eligible people who want jobs can get one.
Israel’s economy marked another unusually strong quarter of growth in the first three months of 2018 as consumer spending, imports and investment soared, according to the Israeli paper Haaretz
Gross domestic product grew an annualized 4.2% rate in the January-March period, the Central Bureau of Statistics reported on May 16 in a preliminary estimate. That was well ahead of the 3.9% average pace forecast in a Reuters poll of economists and marked the third straight quarter of expansion in excess of 4%.
Moreover, the CBS revised up its fourth-quarter gross domestic product growth estimate to an annualized 4.4% from 4.1%.
In a statement issued April 17, 2018, credit rating agency Fitch Ratings has affirmed Israel’s grade of ‘A+' with a stable outlook
“Israel benefits from high financing flexibility, has deep and liquid local markets, good access to international capital markets, an active Diaspora bond program [emphasis added], and US government guarantees in the event of market disruption,” the agency noted. Israel’s economy was also acknowledged in the report as having a “robust macroeconomic performance and solid institutional strength” and was recognized as being “diverse and advanced” due to its “well-developed institutions and education system."
The Bonds organization is proud to be a vital partner in the fortification of Israel’s economy and is appreciative of all Israel bond investors for helping to reach this accomplishment. (Israel bonds are not rated).
Israel remains 11th happiest country for the fifth year running, according to 2018 UN World Happiness Report, ranking ahead of United States, Britain, France, and Italy in the survey of global societal well-being that ranks 156 countries by happiness levels using variables such as GDP per capita and healthy life expectancy. An investment in #IsraelBonds is an investment in a dynamic nation of continued well-being and prosperity.