Israeli market grows by 5.1 percent in 2006
Figures show slight drop from growth in 2005. Israel passes OECD GNP average by 1.9 percent but rapidly growing population brings down GNP per capita figures significantly
The Central Bureau of Statistics recorded a 5.1 percent growth in Israel's GNP (Gross National Product) for 2006, the CBS said on Wednesday.
The figures show a slight drop but are still similar to the 5.2 percent growth noted in 2005 and 4.8 percent in 2004.
The Bank of Israel had projected a 4.8 percent growth in late 2006 but the final numbers exceeded their expectations.
The GNP per capita rose to 3.2 percent compared to a 3.4 percent growth in 2005.
Private spending grew by 4.8 percent in 2006 and quality of living, measured by private spending per capita, rose by 3 percent; almost double from the 1.6 percent in 2005.
The purchase of automobiles for private use shrank by 5.8 percent per capita, while spending on domestic furniture rose by 7.5 percent per capita. Sales of household appliances such as refrigerators, air conditioners and washing machines rose by 0.6 percent per capita.
International standing
Israel's growth rate for 2006 was high compared to the international average. The average GNP growth for the 30 member countries of the OECD (Organisation for Economic Co-operation and Development) for 2006 stood at 3.2 percent, lower than Israel's by 1.9 percent. However due to the relative rapid expansion of Israel's population, the GNP per capita in Israel is only 0.7 percent higher than the OECD average, 3.2 percent to the OECD average of 2.5 percent.
The export of goods and services grew by 4.9 percent compared to a 5.1 percent rise in 2005. The importing of goods and services rose by 3.1 percent compared to 3.4 percent in 2005. The total of all imports -excluding military imports, ships, airplanes and diamonds – rose by 5 percent in 2006 compared to 5.2 percent in 2005.
The industry branch noted a 10.2 percent growth compared to 4.1 percent in 2005, while the high-tech industry noted a significant 23.5 percent growth. Production in the semi-traditional industry rose by 6.0 percent and traditional technology rose by 2.9 percent.
Additional growth was recorded in the trade, commerce and hospitality branch (7.5 percent), financial services (6.9 percent) and communication services (3.6 percent).
