• GDP: US$145 billion (2005).
• Main exports: High-tech equipment, computer software, cut diamonds, agricultural products, chemicals and textiles.
• Main imports: Raw materials, military equipment, rough diamonds, fuel and grain.
• Main trade partners: USA, Belgium, Germany, Switzerland and UK.

Israel has a diverse and sophisticated manufacturing economy. High-technology is the largest sector. In 2005, almost US$12 billion of high tech products were exported. High-tech services form about 20% of Israeli businesses. The rest of the industrial sector is concentrated on engineering, aircraft, electronics, chemicals, biotechnology, textiles and food-processing. 

Agriculture is relatively small (about 4.2% of GDP) with citrus fruit and cut flowers as main exports. Mining is expanding through production of potash and bromine. There has been considerable investment in tourism, which however is sensitive to political developments and currently stands at only about 2% of GDP. Many Israeli companies are listed both on the Tel Aviv Stock Exchange and the NASDAQ or the New York Stock Exchange. 

The labour force is about 2.5 million. Around 10% of workers are employed in the defence industry. Unemployment stands at about 9%. 

The economy benefits from the steady influx of immigrants who are highly educated professionals. 

An annual aid package from the USA in 2006 stands at an estimated US$3 billion in military aid, US$240 million in civilian aid (about half the 2004 figure) and US$9 billion in loan guarantees.

The impact of Hizbollah’s war in summer 2006, with the subsequent loss to the economy of over US$2 billion, caused a reduction in estimated annual growth for 2006 from 5.7% to 4% of GDP, still regarded as a satisfactory figure.

Business appointments may take place at home or in restaurants, as well as at the office. Normal courtesies should always be observed, and business cards exchanged, although business meetings tend to be much less formal than in the UK or the USA.

Office hours: Usually Sun-Thurs 0830-1800 and mornings only on Friday.

Federation of Israeli Chambers of Commerce
PO Box 20027, 84 Haashmonaim Street, Tel Aviv 67132, Israel
Tel: (03) 563 1010.
Website: www.chamber.org.il

Jerusalem International Convention Centre (JICC)
Binyaney Ha’ooma, PO Box 6001, Jerusalem 91060, Israel
Tel: (02) 655 8558.
Website: www.iccjer.co.il

Israel Trade Fairs and Convention Center
Rokach Boulevard, PO Box 21075, The Exhibition Gardens, Tel Aviv 61210, Israel
Tel: (03) 640 4402.
Website: www.israel-trade-fairs.com

Israel attracts about 150 international meetings a year with 50,000 delegates; scientific and academic meetings account for about half the meetings, though religious and sporting events are on the increase. 55% of meetings are held in Jerusalem. Apart from hotels and convention centres in Jerusalem, Eliat and Tel Aviv, opportunities also exist to hold meetings in kibbutzim.