Benjamin Netanyahu got the keys to the Israel’s government nine years ago. The ex-special forces soldier is on course to be the country’s longest serving leader. Let’s take a look at its remarkable achievements on Israeli economic front.
When Benjamin Netanyahu was elected on March 2009 to his second term as Israel’s Prime Minister, the economy was in a tailspin in the wake of the most-severe financial crisis since the great crash of 1929. Israeli economic growth was negative at the end of the tenure of the Ehud Olmert administration.
It has dropped from 5.7 percent in 2007 to less than 2 percent in the second half of 2008 and further down to -5 percent in the first quarter of 2009. Netanyahu turned things around with tax cuts, more privatisation of the county’s industries and the removal of regulatory barriers to bring back investments.
Netanyahu has therefore signed free trade agreements with Canada, Turkey, Czech Republic, the Republic of Slovakia, Mexico and Poland, in addition to major pre-existing free trade agreements with the European Union and the United States. He thus saved Israel from the economic doldrums that characterised the United States and the Southern Europe’s Economys.
Netanyahu and the revival of Israel’s economy
All in all, Prime Minister Benjamin Netanyahu policies have been good for Israel. In 2009, the country’s economy moved within few months to a growth rate comprised between 4 and 5 percent. Throughout the tenure of his administration, official unemployment has fallen from roughly 7.5 percent in 2011 to 5.2 percent in 2016 and 3.7 in 2017, based on Bank of Israel data. Israel has also witnessed major infrastructure reforms.
In July 2013, Netanyahu launched a campaign of port privatisation and issued tenders for the construction of private ports in Ashdod and Haifa.
In the same year, he passed the Law for Promotion of Competition and Reduction of Concentration to reduce the size of existing business groups characterised by a pyramidal structure and prevent the new ones from being formed, separate between financial holdings and non-financial holdings, increase competitiveness and strengthen the resilience of financial intermediaries.
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