CBS: Economy shrank by 1.4% in Q3

According to the Central Bureau of Statistics Business product fell by an annualized 5.6%, after rising by 7.9% in the previous quarter. Exports of goods and services fell 19.8%
 
The Central Bureau of Statistics (CBS) announced last week that Israel’s economy shrank in the third quarter, the quarter of the second Lebanon war, by an annualized 1.4%.
 
According to the Central Bureau of Statistics Business product fell by an annualized 5.6%, after rising by 7.9% in the previous quarter and 8% in the first quarter and exports of goods and services fell 19.8%.
 
Imports of goods and services fell by an annualized 26.1%.
 
The sharp increase in public and defense spending was apparently not enough to prevent the economic contraction.
 

The CBS noted that some 20% of Israel's population was displaced during Israel's second war with Lebanon in July and August this year and much business activity in the North shut down, at times for weeks.