War in Gaza Costs Israel More than IDR 700 Million

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Sumber :
  • aawsat.com

Israel – Israel's ongoing war in Gaza is expected to cost the Israeli economy US$48 billion or equivalent to IDR 746.6 trillion throughout this year and next year. This was revealed by a financial consulting firm on Thursday.

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"It's likely that Israel will bear two-thirds of the total cost of the war, and the rest will be borne by the United States (US) in the form of military aid," Israel Leader Capital Markets said in a statement.

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Photo :
  • sky.com
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The US$48 billion estimate is lower than previous estimates, including a recent announcement by Israel's National Economic Council, which estimated that the cost of the war to the Israeli economy could potentially reach US$54 billion.

Earlier, Israel's Finance Ministry estimated in October that economic losses from the war amounted to US$270 million per day, and emphasized that the end of the war did not mean the end of losses.

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The figures from Leader Capital Markets show that the Israeli government may need to borrow again to deal with the worst armed conflict in half a century.

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Photo :
  • timesofisrael.com

The agency quoted Yali Rotenberg, chief accountant at Israel's Finance Ministry, as saying: "We are moving forward with a baseline scenario that shows fighting for several months, and we are building additional buffers. We (are) confident we can finance the country,"

As information, although Israel issues international bonds through private placements through Wall Street banks, such as Goldman Sachs, the Israeli government relies on the local market to absorb most of its financing needs.

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