OECD Economic Surveys: Israel 2020

Abstract

This Survey is published on the responsibility of the Economic and Development Review Committee of the OECD, which is charged with the examination of the economic situation of member countries.

The economic situation and policies of Israel were reviewed by the Committee on 23 January 2020. The draft report was then revised in the light of the discussions and given final approval as the agreed report of the whole Committee on 8 July 2020. The Secretariat’s draft report was prepared for the Committee by Oliver Roehn and Gabriel Machlica, under the supervision of Mame Fatou Diagne and Nicola Brandt. Statistical research assistance was provided by Federico Giovannelli and Klaus Pederson. Publication coordination was provided by Alexandra Guerrero. The Survey also benefitted from contributions from Peter Jarrett.

The previous Survey of Israel was issued in March 2018.

Information about the latest as well as previous Surveys and more information about how Surveys are prepared is available at http://www.oecd.org/eco/surveys.

Basic Statistics of Israel, 2019

(Numbers in parentheses refer to the OECD average)**

LAND, PEOPLE AND ELECTORAL CYCLE
Population (million, 2018)	9.1		Population density per km² (2018)	410.5	(38.0)
Under 15 (%, 2018)	27.9	(17.9)	Life expectancy at birth (years, 2017)	82.8	(80.1)
Over 65 (%, 2018)	12.2	(17.1)	Men (2017)	80.9	(77.5)
Foreign born (%, 2017)	20.8		Women (2017)	84.8	(82.8)
Latest 5-year average growth (%)	2.0	(0.6)	Latest general election	March-2020
ECONOMY
Gross domestic product (GDP)			Value added shares (%, 2018)
In current prices (billion USD)	394.8		Agriculture, forestry and fishing	1.3	(2.6)
In current prices (billion NIS)	1 406.7		Industry including construction	21.5	(26.8)
Latest 5-year average real growth (%)	3.3	(2.2)	Services	77.2	(70.5)
Per capita (000 USD PPP, 2018)	42.1	(48.3)
GENERAL GOVERNMENT (% of GDP)
Expenditure (2018)	40.3	(40.4)	Gross financial debt (2018, OECD: 2017)	60.9	(108.9)
Revenue (2018)	36.7	(37.5)	Net financial debt (2018, OECD: 2017)	57.4	(69.0)
EXTERNAL ACCOUNTS
Exchange rate (NIS per USD)	3.6		Main exports (% of total merchandise exports)
PPP exchange rate (USA = 1)	3.7		Manufactured goods	28.1
In per cent of GDP			Machinery and transport equipment	26.6
Exports of goods and services	29.3	(54.2)	Chemicals and related products, n.e.s.	25.6
Imports of goods and services	27.4	(50.5)	Main imports (% of total merchandise imports)
Current account balance	3.4	(0.3)	Machinery and transport equipment	36.8
Net international investment position	41.0		Manufactured goods	17.2
			Mineral fuels, lubricants and rel. materials	11.9
LABOUR MARKET, SKILLS AND INNOVATION
Employment rate (aged 15 and over, %)	61.1	(57.5)	Unemployment rate, Labour Force Survey (aged 15 and over, %, OECD: 2018)	3.8	(5.4)
Men	65.1	(65.6)	Youth (aged 15-24, %, OECD: 2018)	6.7	(11.7)
Women	57.3	(49.9)	Long-term unemployed (1 year and over, %, 2018)	0.2	(1.4)
Participation rate (aged 15 and over, %, 2018)	63.5	(61.1)	Tertiary educational attainment (aged 25-64, %, 2017, OECD: 2018)	50.9	(36.9)
Average hours worked per year, 2018)	1 898.1	(1726)	Gross domestic expenditure on R&D (% of GDP, 2017)	5.0	(2.6)
ENVIRONMENT
Total primary energy supply per capita (toe, 2018)	2.6	(4.0)	CO2 emissions from fuel combustion per capita (tonnes, 2018)	7.0	(8.6)
Renewables (%, 2018)	2.6	(10.5)	Water abstractions per capita (1 000 m³, 2016)	0.1
Exposure to air pollution (more than 10 g/m³ of PM 2.5, % of population, 2017)	100.0	(58.7)	Municipal waste per capita (tonnes, 2017)	0.7	(0.5)
SOCIETY
Income inequality (Gini coefficient, 2018, OECD: 2016)	0.35	(0.31)	Education outcomes (PISA score, 2018)
Relative poverty rate (%, 2018, OECD: 2016)	16.9	(11.6)	Reading	470.4	(487.1)
Median disposable household income (000 USD PPP, 2018, OECD: 2016)	22.3	(23.9)	Mathematics	463.0	(489.3)
Public and private spending (% of GDP)			Science	462.2	(488.7)
Health care (2018)	7.5	(8.8)	Share of women in parliament (%)	23.3	(30.7)
Pensions (2017, OECD: 2015)	5.4	(8.5)	Net official development assistance (% of GNI, 2017)	0.1	(0.4)
Education (public, 2017)	5.3	(4.5)

* The year is indicated in parenthesis if it deviates from the year in the main title of this table. ** Where the OECD aggregate is not provided in the source database, a simple OECD average of latest available data is calculated where data exist for at least 80% of member countries.

Source: Calculations based on data extracted from databases of the following organisations: OECD, International Energy Agency, International Labour Organisation, International Monetary Fund, World Bank.