Economic
Israel plans 2026 budget deficit reduction via one‑time bank tax
Israel's Finance Ministry announces a one‑time 3.25 billion shekel tax on commercial banks in 2026 to lower the budget deficit target to 4.9% of GDP.
Israel's Finance Ministry announced that the country's commercial banks will pay a one‑time tax of 3.25 billion shekels (about 1 billion dollars) in 2026. This measure is intended to reduce the planned budget deficit target from 5.1% to 4.9% of gross domestic product. The move comes as the government seeks to offset continued security‑related spending while maintaining fiscal discipline. By shifting part of the fiscal burden to the banking sector, authorities aim to stabilize public finances and support macroeconomic stability over the medium term. The announcement signals policymakers' focus on controlling the deficit amid wartime pressures and ongoing geopolitical uncertainty.
- Status
- active
- Location
- Jerusalem, Israel
- Date added
- 2026-03-25 21:55 UTC
- Last updated
- 2026-03-25 21:55 UTC
- Source
- ZAWYA
- Connected threats
- Not provided