Israel

RGE's Q1 2010 Israel Outlook

Israel should continue to outperform most advanced economies in 2010, following roughly flat growth in 2009 (around 0.5%). RGE’s brighter forecast for Israel compared to its last outlook extends directly from the moderate improvement in the U.S and global economies and the increase in global trade. Despite the resilience of Israeli domestic demand, as illustrated by better labor market conditions and corporate sentiment, external factors will be a major key determinant of growth. Meanwhile the steady monetary tightening should help keep inflation in check without markedly slowing the economy.

Strong economic fundamentals and significant monetary stimulus helped cushion the Israeli economy during the recession and the end of destocking helped boost...

Read the Q1 2010 Israel Outlook.