Israel's budget deficit widens to 4.8%

Growth Photo: Shutterstock

Government expenditure was a record $36.8 billion in April, the Ministry of Finance reports.

Israel's budget deficit widened to 4.8% of GDP for the 12 months ending April 30, 2020. The deficit has widened from 4% at the end of March and 3.1% at the end of February.

The Ministry of Finance said, "From March the impact of the coronavirus crisis began to influence the Israeli economy and budgetary activities. The coronavirus crisis influenced both expenditure and revenues and is expressed in the rise in government expenditure and the sharp fall in tax revenues."

Government expenditure was a record $36.8 billion in April.

Government revenues since the start of 2020 were NIS 103.7 billion, down nominally 11.7% over the corresponding period of 2019. The Ministry of Finance said that state revenuers were impacted by government measures including the postponement of VAT payments and bringing forward rebates worth NIS 2.5 billion.

Published by Globes, Israel business news - www.globes-online.com - on May 7, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

Growth Photo: Shutterstock
Growth Photo: Shutterstock
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