Intifada III May Paralyze Israeli Economy

The fear caused by the Palestinian insurrection is having a profound effect on the Israeli economy.

Courtesy: solveisraelsproblems.com

(SALEM, Ore.) - A report issued by the central bank of Israel revealed that Intifada III, the wave of knife attacks, deliberate car accidents and individual non-organized unpredictable operations in recent months, have had alarming impacts on Israeli economy.

According to the Tel Aviv Times, quoting Jerusalem Post, the Central Bank of Israel issued a detailed December report stating that the wave of conflicts have a profound and worrying effect on the Israeli economy and the presence of tourists in this country is 65 percent below its periodic average, as compared to the first 9 months of the year.

Analyzing the economic situation of Israel, the report says: "These protests have a two-sided impact on Israeli economy; one is a sharp decline in tourism growth and the other one is psychological insecurity and pervasive concern among the people to get out of their houses, and both have a very negative impact on the economy."

In this report, the Central Bank of Israel said that in October, that the index of consumer confidence in Hapoalim Bank has reduced drastically and the central bureau of statistics report shows a significant decrease in this area. However, the economy continues to move on...the frequency and duration of this situation can paralyze Israel's economy.