Israel’s Economic Rescue Plan

Prime Minister Benjamin Netanyahu and Finance Minister Yuval Steinitz presented the ‘Containment and Momentum’ economic plan for 2009 and 2010 in a press conference.

The Containment and Momentum plan consists of five steps:

1.  Improving credit and encouraging exports - NIS 22.6 billion will be given in state guarantees as follows:
      - 12 billion in bank loans
      - 2 billion to funds providing non-bank credit and hi-tech sector
      - 6 billion to manufacturers focusing on export.
      - 2.6 billion to the fund for small and medium businesses

2.  Promoting employment and fighting unemployment

3.  Structural reforms - Reforms in the Israel Land Authority, Israel Electric Corp. and the Israel Port

4. Tax policies - A continued reduction of income and corporate taxes through 2016

5. Changes in human resources and physical infrastructure - Investment in transportation and water and power infrastructure projects


Source:  Embassy of Israel, Washington, D.C.