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Finance Ministry raises growth expectation for 2013

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Finance Minister Yuval Steinitz on Sunday announced that Israel\’s economy would grow faster in 2013 and 2014 than was initially predicted.
Steinitz revealed that The Ministry of Finance Research Division had updated its growth forecast for 2013 to 3.5% and 3.9% for 2014.
The ministry previously predicted growth rates of 3% and 3.4% for 2013 and 2014, respectively.
Steinitz warned, however, that "additional growth does not in this instance mean additional state revenues, because [the government] has taken revenues from taxes on gas into account." Therefore, he said, "The effect on job creation will be limited."
Steinitz described the new prediction as "realistic" and said that "assuming that the growth forecast is realized…Israel will continue, for the next two years as well, to be the number one growth economy among all the countries of the developed Western world."

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