The Israeli State of Economy Index dropped by 1.5 percent during the year 2001, after rising a significant 6.5 percent over the previous year, according to the Research Department of the Bank of Israel. The index’s year-on-year drop points to the continuing deterioration in the country’s economy.
The indicator, know as the S index, has recorded a 6.5 percent slide since the outbreak of the Palestinian Al-Aksa Intifada in September 2000, indicating an ongoing recession. Industrial production fell 0.5 percent in November 2001, subsequent to a 1.2 percent drop in October. A 2.2 percent decrease was concluded in the national revenue index in November 2001, following a 2.8 percent decline in the previous month of October.
A 5.6 percent rise in December’s import index offset the general trend, following a 3.6 percent fall in November. Despite Israel's high exposure to international trade, and especially in the high-tech sector that produces half of its manufacturing exports, the Central bank statement noted it was too soon to assert that this was the start of a turn in activity. — (menareport.com)
© 2002 Mena Report (www.menareport.com)
