Israel’s economy is still growing by an annualized 4%, with steep rises in business sector activity, the standard of living, output, and imports. On the other hand, investment and the construction industry are still lagging behind.
The Central Bureau of Statistics today published its growth estimates for the second half and fourth quarter of 2004, showing 3.9% growth in the second half and 4.1% in the fourth quarter. Business product grew 5.7% in the second half and 8.3% in the fourth quarter.
The Central Bureau of Statistics raised its growth estimate for all of 2004 to 4.3%, compared with its previous estimate of 4.2%, and its business product growth estimate from 6% to 6.2%.
Per capita growth grew by 1.9% in the second half and in the fourth quarter of 2004. Per capita growth was 2.6% for 2004 as a whole, compared with a cumulative 6.5% drop during 2001-2003. The standard of living, per capita private consumption, was up 2.6% in the second half of 2004, and 7% in the fourth quarter. The standard of living rose 3.4% in 2004, after falling 1.5% in 2002-2003.
GDP totaled NIS 527 billion, NIS 77,400 ($17,500) per capita, in 2004.
Exports of goods and services grew 14.3% in the second half of 2004, and by 10% in the fourth quarter. Imports of goods and services were up 11% in the second half, and 28% in the fourth quarter. Civilian imports rose 10% in the second half of 2004, and 45% in the fourth quarter.
Investment in fixed assets remained unchanged in the second half, despite a 28% spurt in the fourth quarter. Investment in residential construction fell by 7.5% in the second half, and by 3.5% in the fourth quarter.
Total public spending was down 2.8% in the second half, and 7% in the fourth quarter.
Published by Globes [online], Israel business news - www.globes.co.il - on February 14, 2005