The Central Bureau of Statistics predicts only 2% growth in 2014, compared with 3.2% in 2013, based on preliminary figures for January-August 2014. In per capita terms, this amounts to growth close to zero. Detailed data will be published at the end of October.
On the occasion of the publication of its 2014 statistical annual, the Central Bureau of Statistics published a variety of economic data indicating slowdown in the economy: business product is projected to grow 1.8%, compared with 3.4% in 2014; and imports of goods and services will rise 2.6%, compared with a 2.7% drop last year.
Exports of goods and services are projected to rise 2.9%, compared with a 0.3% decrease in 2013. The effect of Operation Protective Edge on tourism is also being felt, with a 3.2% drop in tourism revenue being forecast. Agricultural output is down 1.9%, and industry, excluding diamonds, is expected to shrink by 0.3%.
A 4.2% rise is projected in the services sector, excluding tourism. Private consumption is expected to rise 3.3%, the same as last year, and per capita private consumption is expected to rise 1.4%, the same as last year.
Consumer spending is projected to grow by 3.1%, compared with 3.5% in 2013. Defense spending will grow 4.1% (4.7%), and civilian spending by 2.8% (3.1%).
Most of the economic indicators for aggregate demand in the economy are declining, indicating a drop in demand. These include exports of goods excluding diamonds, imports of consumer goods, exits abroad by Israelis, tourist entries to Israel, the industrial production index, proceeds in economic sectors, imports of inputs, number of employees, and number of salaried jobs. The Consumer Price Index is remaining stable, with rises in only two indicators: retail sales and credit card sales.
Figures from the statistical annual show that nationwide spending on health was up 1.2% in 2013, compared with 2012. In current prices, national health spending totaled NIS 79.3 billion, 7.6% of GDP. Private spending continued to grow as a percentage of total spending, reaching 40% in 2013, compared with 38% in 2012, including 27% in household spending on drugs and medical services (doctors, clinics, and dentists), 11% in private health insurance, and the remaining 2% in private non-profit organizations and hospitals belonging to them. The main other sources of spending on health were the state budget (35%) and the health tax (24%).
The 2013 unemployment rate among those aged 15 or higher was 6.2%, compared with 6.9% in 2012. The proportion of those aged 15 or higher in the labor force was 63.7% in 2013, compared with 63.6% in 2012.
Published by Globes [online], Israel business news - www.globes-online.com - on September 22, 2014
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