Reported 11 months ago
The aftermath of the conflict in Gaza has caused delayed inflation in Israel, affecting housing and consumer prices. The war-related disruptions have led to a housing shortage, prompting rent increases and impacting the cost of living. Despite initial shocks to consumer spending, inflation is rising due to growing domestic demand and various factors like higher taxes, utility costs, and a volatile currency. The Finance Ministry expects inflation to reach 3.3% by year-end, attributing the increase to housing, transportation, and food prices. The agricultural and aviation sectors are also facing challenges, with rising costs and decreased productivity impacting the economy.
Source: YAHOO