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Moody's raises Israeli growth forecasts, citing statistical changes in exports

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On November 1, 2026, the Bank of Israel and Central Bureau of Statistics released economic forecasts and updated statistical measurement methods. Credit rating agency Moody’s raised its growth forecasts for the Israeli economy to 5% in 2026 and 6% in 2027. Moody’s noted that much of this upward revision is due to statistical changes in how the activity of Israeli companies abroad is measured, which is linked to high-tech exports.

From globes.co.il

Why it matters

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Moody’s warns that the impressive growth figures do not necessarily reflect a corresponding improvement in domestic economic activity. The rapid expansion of overseas production activity distorts the picture of domestic economic performance, according to Moody's. The Central Bureau of Statistics' adjustments to account for overseas production are a key factor in the revised forecasts referenced by the Bank of Israel.

From globes.co.il

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  • The Ministry of Finance might see improved fiscal forecasts due to higher tax revenues.

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