The latest data from the Central Bureau of Statistics’ Business Tendency Survey for June 2024 shows that the percentage of businesses citing Israel’s security situation as a significant impediment has decreased. This drop was particularly noticeable in the retail sector, where the percentage decreased more gradually than in the industry sector. At the end of Q2/2024, 17% of businesses in the industry sector and 11% in the retail sector reported security concerns as a major issue.
On a different note, the survey revealed that the proportion of businesses facing challenges in entering new markets had increased over time, reaching 22% in Q2 2024 compared to 9% at the beginning of the year. Despite these challenges, overall net balances were positive for businesses across all sectors in June, indicating growth and stability.
Looking ahead to July, expectations were optimistic for most sectors except for construction and hotels. Sales increased in both the industry and service sectors between May and April, while there was a slight decrease in retail sales during that period. This data provides valuable insights into Israel’s current business environment and highlights both challenges and opportunities facing companies operating within it.