Last week, I found myself in Warsaw at a bustling casino. To my surprise, one of the employees greeted me in Hebrew. That brief exchange struck a deeper chord: Israelis are everywhere in the world’s casinos—except in our own country.
That’s more than half a million visits a year, representing tens of millions of dollars leaving our economy. The Oasis casino near Jericho saw even larger figures: roughly a million annual visits by Israelis, spending nearly a quarter of a billion dollars. Turkey, too, welcomed hundreds of thousands of Israelis, with a third visiting casinos and spending around $500 each on gaming.
Altogether, foreign gambling absorbed $300–500 million annually from Israelis during that period. These numbers predate today’s reality, in which overseas casinos—from Warsaw to Cyprus—continue to capture Israeli wallets. Meanwhile, security concerns since the Israel-Hamas war have nearly emptied Sinai of Israeli tourists, pushing this spending even farther afield.
The irony is that Eilat, our southern tourism jewel, is struggling. The city relies heavily on domestic tourism, which ebbs and flows with the economy and security situation. Proposals in 2016 estimated that a casino in Eilat could generate more than $300 million in revenue in its first year, climbing to $500 million thereafter. More recent calls by Eilat’s deputy mayor reference “billions” of shekels lost abroad and to underground gambling here at home.
A casino in Eilat would not only recapture lost revenue but also transform the city into a true international destination. It could bring jobs, attract tourists who currently bypass Israel for Cyprus or Europe, and keep Israeli shekels in Israeli pockets. Properly regulated, it would also undercut the vast illegal gambling market, which thrives in the shadows and generates billions without oversight or tax contribution.
Prof. Ilan Alon Photo: CourtesyOpponents argue that gambling has social costs, and they are not wrong. But Israelis already gamble—just not at home. By keeping this activity offshore and underground, we abandon regulation, taxation, and consumer protection. A legal, well-regulated casino in Eilat could redirect these flows responsibly.
When an employee in Warsaw instinctively addressed me in Hebrew, it was a reminder that Israeli demand is strong and visible abroad. The question is whether we will continue exporting billions in revenue—or finally bring that energy home to Eilat.
Prof. Ilan Alon is a professor of Business and Economics at Ariel University and an expert on international economics and cryptocurrencies.