Israel’s latest offensive on Gaza City is expected to add 25 billion shekels (US$7.5 billion) to the cost of its ongoing war on the enclave, according to an Israeli government official cited by economic reports.
This extra spending—more than 1% of Israel’s GDP—comes on top of 204 billion shekels (US$61 billion) already allocated to Israel war on Gaza over nearly two years, which have expanded into Lebanon, Iran, Syria and Yemen.
Tens Thousands of Israelis Are Engaged in Israel War on Gaza
The official explained that the largest share of expenses covers reserve soldiers’ salaries, ammunition and missile-interception systems.
Tens of thousands of Israelis have been called up since the war began, earning an average of 36,000 shekels a month—about 50% above Israel’s average wage.
Interceptor systems form the second-largest cost item, consuming roughly a quarter of all war spending; a single ballistic-missile interception can cost up to 30 million shekels, according to the Defense Ministry.
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Mounting International Pressure
Israel’s latest Gaza operation faces strong international criticism.
On the sidelines of this year’s UN General Assembly, France recognized the State of Palestine, with Canada, Britain and Australia doing so over the weekend, signaling a growing diplomatic backlash.
Strain on the State Budget
The Israeli cabinet has asked parliament for an additional 30 billion shekels beyond a budget passed only six months ago to cover Israel war on Gaza and Iran.
This would raise the targeted deficit to 5.2%, and further revisions are likely if fighting drags on.
Long-Term Military Investments
Beyond current spending, Israel has earmarked about US$49 billion for long-term purchases to strengthen its armed forces, including:
- US$2.9 billion for a fleet of F-35 fighter jets
- US$2.8 billion for Sa’ar-class warships
- US$1.5 billion for a squadron of F-15s
- Over US$8.9 billion for research and development
Other Wars Besides Israel War on Gaza
Following a 12-day war with Iran in June, Israel is accelerating preparations for threats from distant arenas such as Iran and Yemen.
A new National Armaments Council is under development to coordinate these efforts and reinforce the country’s defense posture.
Source: Asharq News
