The Office of Israeli Prime Minister Benjamin Netanyahu said that any end of the war must include demilitarization of Gaza, Hamas exile and release of all hostages. In addition, the ongoing Doha interviews on Gaz now include discussions on the end of the conflict or the introduction of a ceasefire together with negotiations on the hostage agreement.
Meanwhile, Reuters announced and quoted a higher official that there was little progress in the interviews.
While Netanyahu describes in detail “at the end of the war”, reports reported that all hospitals in Northern Gaza were “out of service” because fresh Israeli strikes kill at least 103.
Israeli economy grows 3.4% in Q1
The Israeli economy experienced a slight growth in the first quarter of 2025, despite the continuing conflict in Gaza with the Palestinian Islamist Group Hamas, which continues to weigh economic activities. According to a preliminary estimate published by the Central Statistical Office on Sunday, the gross domestic product (GDP) expanded between January and March and 3.4% annually, which closely corresponded to the prognosis of 3.5% of the agency survey. Based on the head, GDP increased by 2.2%over the same period.
The conflict, which exploded after Hamas’s cross -border attack in October 2023, had a lasting impact on the economy. The ceasefire, which came into force of 19 January this year, was short -term, ending in mid -March, although since the end of November there has been a separate ceasefire with Hezbollah in Lebanon.
Despite the challenges, the economy showed resistance, supported by 8.7% increase in investment, especially 28% of the increase in residential construction. However, private consumption decreased by 5%, exports decreased by 1.8%and government expenditure decreased slightly by 0.2%. With the exception of the public sector, GDP growth was even stronger to analized 4.4%.
Inflation remains a problem, while the annual rate in April increases to 3.6%, above the target range of the government 1-3%. The Israeli bank recently reduced its growth forecast to 2025 from 4.0% to 3.5%, reflecting the economic tension caused by partially mobilizing civilians for reserve military obligation.
Meanwhile, the main Indices of Tel Aviv sharing increased by 1%on Sunday, signaling cautious optimism among investors in the middle of the ongoing geopolitical voltage.
(Tagstotranslate) Israel
