Israel - Statistics & Facts

Since October 2023, Israel has been engaged in conflict in the Gaza strip, more information about the conflict can be found here.

Economy

The economy of Israel is largely driven by industry and services. Israel is relatively poor in terms of natural resources, especially in comparison to other energy superpowers in the Middle East, however it is mostly self-sufficient in terms of agriculture and a profitable natural gas industry has emerged in recent years. In terms of manufacturing, Israel is a world leader in the production and export of chemicals and pharmaceuticals, military and aerospace equipment, and industrial diamonds, among others. Where Israel’s economy shines, however, is in its high-tech industries. Israel’s business-friendly policies make it a world leader in R&D and start-ups, notably in the Artificial Intelligence sector, with Tel Aviv sometimes described as the Silicone Valley of the Middle East.

Demographics

The demographics of Israel are fairly unique, and overall trends do not follow those observed in neighboring countries in the Middle East nor in Western countries with similar economic development. Israeli life expectancy from birth is over 83 years, which is the highest in the Middle East and above countries such as Canada, France, or New Zealand. However, Israel is the only high-income country with fertility rates above the global average – at roughly three children per woman, fertility rates in Israel are more comparable to some countries in Sub-Saharan Africa than to European rates. This has been attributed to the fact that Israeli families have historically been larger than those of other high-income countries for various cultural and historical reasons, and despite the average age of first-time motherhood increasing alongside global trends, Israeli mothers are still having more children later in life compared to other wealthy nations. High life expectancy, high fertility rates, and positive net migration combine to give Israel the highest rate of population growth of any high-income country in the world.

Politics

Israel is a parliamentary democracy and republic, with the Prime Minister holding executive power, and a President serving in a more ceremonial role. The Israeli parliament is the Knesset, which is the sole legislative house in Israel. Generally, the Prime Minister is the chairperson of the ruling party in the Knesset, and Israel’s proportional representation system and large number of parties makes it virtually impossible for a single party to rule without forming a coalition. Israeli politics was largely dominated by leftist parties until the 1970s, led by notable figures such as David Ben-Gurion and Golda Meir, before the rise of the Likud party saw a shift to the right after 1977. The 1996 elections marked the first time prime minister was elected on a separate ballot to other members of the Knesset, with Likud’s Benjamin Netanyahu becoming the dominant political figure since this time, serving as Prime Minister for over 16 of the past 27 years.

The 120 seats of the Knesset are elected for four-year terms, although few governments have served a full-term due to various factors such as political stalemates or early-dissolution of the Knesset. This was most pronounced during the 2018-2022 Israeli political crisis, with five snap elections called between April 2019 and November 2022, due to widening divisions between the right- and left-wing Jewish parties, as well as Arab parties. This crisis was followed by further upheaval in 2023, when the new Netanyahu government sought to introduce judicial reforms that weakened the Supreme Court – many viewed this move as undemocratic, and much of 2023 was consumed by anti-reform protests throughout the country, although these were paused following the October 7th attack.

Israel’s place in the Middle East

Israel has been involved in several major wars with its neighbors since 1948, in addition to the continuous Israeli-Palestinian conflict, with many of these having long-term and global repercussions.These include the Suez Crisis in 1956, which is considered by many to mark the end of Britain’s superpower status and have accelerated African decolonization. The Six Day War in 1967 resulted in the military occupation of all Palestinian territories, as well as most of the Golan Heights from Syria and the Sinai Peninsula in Egypt - Israel still militarily occupies the West Bank and Golan Heights to this day, which most states and international bodies consider illegal. Additionally, the Yom Kippur War in 1973 led to a major recession across the West due to heavy sanctions on Israel’s allies by Arab oil-producing states. The late-20th century saw a wider de-escalation between Israel and its neighbors, with Egypt normalizing relations with Israel in 1978, Jordan following in 1994, and four more Arab states in 2020. However, there have still been sporadic conflicts since the 1980s, especially to the north against Syria and Hezbollah (in Lebanon), while post-Revolutionary Iran has repeatedly called for Israel’s destruction.

In the late-1960s, Israel secretly develop nuclear weapons (although it has never officially confirmed or denied this) and it is likely the only nuclear power in the Middle East to this day, which acts as a major deterrent to potential aggression. With significant financial support from the United States, additional defenses include Israel’s Iron Dome missile system, its intelligence agency, Mossad, and mandatory military service, which combine to make Israel one of the most heavily protected countries in the world. As Israel has sought to extend diplomatic relations across the region, most notably with Saudi Arabia (both countries are involved in proxy wars with Iran), Israel’s continued occupation and blockade of Palestine remains a point of contention, and the outbreak of war in 2023 has halted negotiations.

Background and the founding of Israel

The establishment of the modern state of Israel is linked with the history of the Jewish people. According to the Bible, God promised the land of Israel to the Jews in return for religious adherence, however, the Jews were conquered or forced from the region several times during antiquity, before being displaced across Europe, the Middle East, and North Africa for most of the past 2,000 years. During this time, the region was mostly under Muslim control, with Arabs as the ethnic majority. In the late-1800s, the Zionist movement then built upon the biblical idea of Israel being a “promised land” for the Jewish people and advocated for the creation of an independent Jewish state in Palestine, leading to a significant uptick in Jewish migration to the region, which rose further due to rising antisemitism and oppression in Europe in the 1930s and the Holocaust in the 1940s.

The influx of Jews led to tension with the native Arab population, and both sides also revolted against the British ruling authorities, who then agreed to withdraw from the region in 1947. The United Nations then proposed a Partition Plan establishing separate Arab and Jewish states, but this was rejected by Arab leadership and a civil war between Jews and Arabs began the following day, before escalating into a regional war in 1948 when a coalition army from several Arab states invaded in support of the Arabs. Despite being heavily outnumbered, ten months of fighting ended with an Israeli victory: Israel controlled all its designation of the Partition Plan and took over half the proposed Palestinian territory (78 percent of the total territory). The remaining Palestinian territory was split in two: the Gaza Strip to the southwest, and East Jerusalem and the West Bank to the east. As a result of the war, over 700,000 Palestinians (half the total Arab population) were forcibly displaced from Israel, in event now known as the Nakba (“catastrophe” in Arabic), and this was followed by an influx of Jewish migrants from Arab countries.