The proportion of debt to GDP has fallen by 14% in three years.
Government debt narrowed by 2.7% to NIS 538 billion in 2006, representing 86% of GDP, down 9% over 2005. The proportion of debt to GDP has fallen by 14% or NIS 75 billion in three years. The Ministry of Finance said that the fall in government debt was due mainly to higher revenues from privatization, higher tax revenues, ongoing reforms, the appreciation of the shekel against foreign currencies, especially the dollar, and zero inflation.
75% of the government debt is denominated in shekels, of which NIS 255 billion is negotiable debt and NIS 146 billion is non-negotiable debt. The government's debt in foreign currency amounts to NIS 137 billion.
Published by Globes [online], Israel business news - www.globes.co.il - on April 29, 2007
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