Jerusalem [Israel], May 13: Israel's budget deficit for the 12 months to April narrowed to 5.1 percent of gross domestic product (GDP), the Finance Ministry said in a statement on Monday.
The deficit over the 12 months climbed to 8.5 percent of GDP by the end of September 2024 but has since gradually decreased to the current level.
However, the figure recorded in April remains above the government's deficit target, which is capped at 4.9 percent of GDP.
The ministry also reported that in the first four months of 2025, Israel recorded a budget deficit of 7.2 billion shekels (2.02 billion U.S. dollars), a significant improvement compared to the 38.1-billion-shekel deficit during the same period in 2024.
According to the ministry's data, this improvement was mainly attributed to a 25-percent year-on-year increase in tax revenues during the period.
At the same time, government spending from January to April reached 202.8 billion shekels, up by 3.9 percent year-on-year.
The ministry explained that the increase was mainly due to high defense spending amid the ongoing conflicts the country has engaged in, along with a general rise in expenditures under the new annual budget.
Source: Xinhua