1 / 54

Economic Highlights Presentation 1 st Quarter 2013

STATE OF ISRAEL MINISTRY OF FINANCE Economics and State Revenue Department. Economic Highlights Presentation 1 st Quarter 2013. In any case of information derived from sources external to the Ministry of Finance, such sources are mentioned at the bottom of each item. Table of Contents.

madra
Download Presentation

Economic Highlights Presentation 1 st Quarter 2013

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. STATE OF ISRAELMINISTRY OF FINANCEEconomics and State Revenue Department Economic Highlights Presentation 1st Quarter 2013 In any case of information derived from sources external to the Ministry of Finance, such sources are mentioned at the bottom of each item

  2. Table of Contents Table of Contents 1 Main Indicators 2 Real Economy 3 Foreign Trade and Balance of Payments 4 Labor Market 5 Fiscal Stance 6 Price Stability and Monetary Policy 7 Innovative Economy 8 Learn More 9 Contact

  3. Economic Figures *Using a periodic average exchange rate. ** For available months Sources: CBS, IMF

  4. Economic Figures * MoF Estimates

  5. Table of Contents Table of Contents 1 Main Indicators 2 Real Economy 3 Foreign Trade and Balance of Payments 4 Labor Market 5 Fiscal Stance 6 Price Stability and Monetary Policy 7 Innovative Economy 8 Learn More 9 Contact

  6. GDP and Business GDP Annual rate of change, constant prices, 2005

  7. GDP Growth Israel compared to advanced economies, annual rate of change, constant prices Since 2004, Israel’s growth rate has exceeded the average growth rate of advanced economies. In 2009, as most of the world experienced a decline in GDP, Israel experienced a 1.1% growth in it’s GDP. * MoF forecast, Euro stat and OECD forecast Source: CBS, OECD Stat

  8. GDP Components Real Annual Percentage Change Effects of the global economic crisis

  9. GDP per Capita $ U.S, Current prices, Current PPP, 2012 Additional Sources: OECD

  10. Output Gap As percentage of Potential GDP, 2012 The actual - potential GDP Difference. Positive index means that actual output is higher than potential. Additional Sources: OECD Estimates

  11. Stock Exchange Indices Percentage Change, end of period relative to end of previous period Additional Sources: TASE, Bloomberg

  12. Table of Contents Table of Contents 1 Main Indicators 2 Real Economy 3 Foreign Trade and Balance of Payments 4 Labor Market 5 Fiscal Stance 6 Price Stability and Monetary Policy 7 Innovative Economy 8 Learn More 9 Contact

  13. Exports of Goods and Services As a share of GDP Effects of the global economic crisis

  14. Main Trading Partners $ US Billions, 2012 * The data on trade with Hong-Kong is added to the data regarding China Source: Central Bureau of Statistics

  15. Main Export Destinations As a share of total exports * As to January-February 2013 Source: Central Bureau of Statistics

  16. Current Account Surplus As % of GDP Source: Central Bureau of Statistics

  17. Foreign Investments $ US Billions * In 2006, a large acquisition by Teva Pharmaceutical Industries Ltd. was included in the data. Source: Central Bureau of Statistics

  18. Exchange Rates 31 March 2013 vs 31 December 2012 The annual change in the specified currency relative to the $ US A decrease means an appreciation of the specified currency relative to the $ US Source: Pacific Exchange Rate Service

  19. Terms of Trade 2005 average = 100 Terms of Trade = Export Prices to Import Prices Ratio Source: Central Bureau of Statistics

  20. Israel’s Free Trade Agreements 1985 USA QIZ Agreements 1992 EFTA 2004 Egypt 1997 Turkey 1998 Jordan 1997 Canada 1999 Mexico 2000 European Union (Association Agreement) 2007 MERCOSUR More comprehensive information is available on the Israel Ministry of Finance website

  21. Bilateral Investment Treaties Cyprus Albania Hungary* Argentina Czech Republic India Armenia El Salvador Kazakhstan Azerbaijan Korea Estonia Belarus Ethiopia Latvia Bulgaria Lithuania Georgia China Germany Moldova Croatia* Guatemala Macedonia* *Comprehensive information is available on the Israel Ministry of Finance website

  22. Bilateral Investment Treaties Turkey Montenegro Turkmenistan Poland Ukraine* Romania Uruguay Serbia Uzbekistan Slovakia Slovenia* South Africa* Thailand *Comprehensive information is available on the Israel Ministry of Finance website

  23. Economic Organizations Membership in main international economic organizations • Israel is a member of leading international economic organizations: • United Nations Organizations • United Nations Agencies • World Bank Group • International Monetary Fund • OECD • Regional Organizations • Inter-Governmental Organizations More comprehensive information is available on the Israel Ministry of Finance website

  24. Table of Contents Table of Contents 1 Main Indicators 2 Real Economy 3 Foreign Trade and Balance of Payments 4 Labor Market 5 Fiscal Stance 6 Price Stability and Monetary Policy 7 Innovative Economy 8 Learn More 9 Contact

  25. Unemployment and Participation As % of total labor force Since the 2nd quarter of 2009 unemployment is relatively decreasing, with a gradual increase in the participation rate since the beginning of 2010. *Available data. Source: Central Bureau of Statistics

  26. Unemployment Rate Latest available data Additional Sources: OECD

  27. Job Creation Change in the number of employees Effects of the global economic crisis Annual average relative to previous year average. * January to February average. Source: Central Bureau of Statistics

  28. Employment Rate 15+, latest available quarterly data Additional Sources: OECD, Euro Stat

  29. Table of Contents Table of Contents 1 Main Indicators 2 Real Economy 3 Foreign Trade and Balance of Payments 4 Labor Market 5 Fiscal Stance 6 Price Stability and Monetary Policy 7 Innovative Economy 8 Learn More 9 Contact

  30. General Government Expenditure As % of GDP Source: Central Bureau of Statistics

  31. General Government Tax Burden As % of GDP OECD countries average: 33.8% (2011 average) Source: Central Bureau of Statistics, OECD

  32. General and Central Budget Deficit As % of GDP

  33. Public Debt As % of GDP Effects of the global economic crisis * MoF Estimates

  34. Public Debt As % of GDP, international comparison Source: OECD

  35. Israel’s Credit Ratings Updated to mid-September, 2012 April 2008 Moody’s upgrade Israel To A1 Sep 2011 S&P upgrade Israel To A+ Nov 2007 S&P upgrade Israel To A Feb 2008 Fitch upgrade Israel To A

  36. Avoidance of Double Taxation Austria Denmark India Belarus Estonia Ireland Belgium Ethiopia Italy Brazil Finland Jamaica Bulgaria France Japan Latvia Canada Georgia China Germany Lithuania Croatia Greece Luxembourg Hungary Czech Republic More comprehensive information is available on the Israel Ministry of Finance website

  37. Avoidance of Double Taxation Taiwan Mexico Russia Thailand Moldova Singapore Turkey Slovak Republic Netherlands Slovenia UK Norway South Korea Ukraine Panama USA Philippines South Africa Spain Uzbekistan Poland Sweden Portugal Vietnam Switzerland Romania More comprehensive information is available on the Israel Ministry of Finance website

  38. Table of Contents Table of Contents 1 Main Indicators 2 Real Economy 3 Foreign Trade and Balance of Payment 4 Labor Market 5 Fiscal Stance 6 Price Stability and Monetary Policy 7 Innovative Economy 8 Learn More 9 Contact

  39. Inflation Rate Rate of change in consumer price index Source: Central Bureau of Statistics

  40. Interest Rate Source: Bank of Israel

  41. Central Bank’s Interest Rates International Comparison Source: Specified Countries’ Central Banks

  42. Table of Contents Table of Contents 1 Main Indicators 2 Real Economy 3 Foreign Trade and Balance of Payments 4 Labor Market 5 Fiscal Stance 6 Price Stability and Monetary Policy 7 Innovative Economy 8 Learn More 9 Contact

  43. Industrial Production Annual Growth Total industrial production grew by 4.3% 2012 average relative to 2004 average Source: Central Bureau of Statistics

  44. Industrial Export Current U.S. $ Billions, and the share of high tech and mid high tech sectors in the Israeli goods exports 79.1% 78.3% 79.1% 78.4% 74.5% 79.1% 74.9% 74.7% 73.3% 72.8% 72.5% 73.4% * 2013 available months average Source: Central Bureau of Statistics

  45. Israel is a World Leader in Science, Technology, and Innovation • 1st in R&D expenditure of as % of GDP* • 1stin quality of scientific research institutions** • 1st for entrepreneurship being widespread amongst its managers* • 2nd in public expenditure on education*  • 3rd in venture capital availability** • 4th in PCT patents applications per million population** • 5th for strength of investor protection** • 6 Israelis in the last 10 years have been awarded Nobel Prizes in the fields of Economics or Chemistry Civilian R&D as % of GDP, 2009 Global Competitiveness Report 2012-2013 “The country’s main strengths remain its world-class capacity for innovation (3rd), which rests on highly innovative businesses that benefit from the presence of the world’s best research institutions geared toward the needs of the business sector. Israel’s excellent innovation capacity, which is supported by the government’s public procurement policies, is reflected in the country’s high number of patents (4th). Its favorable financial environment, particularly evident in the ease of access to venture capital (3rd), has contributed to making Israel an innovation powerhouse..” Source: OECD Science, Technology and Industry Scoreboard 2011. * International Institute for Management Development (IMD) Global Competitiveness Yearbook 2011. ** World Economic Forum (WEF) Global Competitiveness Report 2012-2013.

  46. Israel in IMD Rankings IMD World Competitiveness Yearbook 2012 (1) Hong Kong 1 (1) USA 2 (5) Switzerland 3 (3) Singapore 4 The Institute for Management Development ranked Israel 19th out of 59 countries for 2012. Israel has been ranked 1st at entrepreneurship and 9th at economy resilience. (4) Sweden 5 (7) Canada 6 (6) Taiwan 7 (13) Norway 8 (10) Germany 9 (8) Qatar 10 (14) Netherlands 11 (11) Luxemburg 12 (12) Denmark 13 (16) Malaysia 14 (9) Australia 15 (28) UAE 16 (15) Finland 17 (20) United Kingdom 18 (17) Israel 19 (24) Ireland 20 Source: IMD World Competitiveness Yearbook 2012

  47. Israel in IMD Rankings IMD World Competitiveness Yearbook 2012 Israel’s ranking compared to other IMD countries, Business Efficiency and Infrastructure Israel’s ranking compared to other IMD countries, Economic Performance and Government Efficiency Source: IMD World Competitiveness Yearbook 2012

  48. Israel in WEF Rankings World Economic Forum Global Competitiveness Index 2012-2013 The World Economic Forum ranked Israel 26thout of 144 countries for 2012-2013 in terms of competitiveness. The Forum also ranked Israel: 1st in Quality of scientific research institutions 3rd in Venture capital availability 4th in PCT patents, applications/million pop. 5th in Strength of investor protection 5th in Firm-level technology absorption 6th in Capacity for innovation 6th in Company spending on R&D And 8th in University-industry collaboration in R&D Source: World Economic Forum Global Competitiveness Index 2011-2012

  49. Cooperation in Industrial R&D North America New YorkMassachusettsMarylandVirginiaWisconsinColoradoIllinois Oregon BIRD (Foundation)Ontario CIIRDF (Foundation) Europe FranceRussiaItaly ( and Trento county)GermanyGreeceCzech RepublicBulgariaLithuania Slovenia DenmarkHungaryTurkeyPortugalFinlandSwedenIreland Spain Cyprus Netherlands * Through EUREKA (40 country Multilateral Initiative) Asia China (Shanghai, Jiangsu, Shenzhen, Federal)IndiaSIIRD-Singapore (Foundation)KORIL-RDF-Korea (Foundation) South America ArgentinaUruguayBrazil Australia (Victoria) More comprehensive information is available on the Israel Ministry of Finance website

  50. Table of Contents Table of Contents 1 Main Indicators 2 Real Economy 3 Foreign Trade and Balance of Payment 4 Labor Market 5 Fiscal Stance 6 Price Stability and Monetary Policy 7 Innovative Economy 8 Learn More 9 Contact

More Related