Israel: CEEMEA Economic Research

研报英文原文证据摘录

Israel: CEEMEA Economic Research

Anatoliy A Shal (971) 4561-2005 CEEMEA Economic Research J P M O R G A Nanatoliy.a.shal@jpmorgan.com

J.P. Morgan Securities plc 18 June 2026

Israel FDI flows and other lines of the financial account were sig-

nificantly affected by large exits in the tech sector in 1Q. The

• CA deteriorated significantly in 1Q Wiz acquisition likely contributed to an $11.7bn decline in

FDI assets of Israeli residents abroad (acquired company’s

• Labor market displays only partial recovery legal entity registered in the US), and the CyberArk acquisi-

• Activity remains below pre-war trend tion likely contributed to a $14.1bn increase in FDI assets of

• Inflation steady at 1.9%oya in May non-residents in Israel (entity in Israel). The second deal also

involved reclassification from portfolio to FDI investment

Israel’s current account recorded a rare deficit in 1Q, even if (over 90% of the company was owned by institutional inves-

symbolic (-$0.1bn). The merchandise trade balance was mar- tors) and contributed to a $22.7bn decline in equity portfolio

ginally stronger (higher exports) and the services balance investment in Israel.

marginally weaker (higher imports), but the big picture is that

trade had little to do with the surprising weakness in the CA A somewhat more obscure but large flow was a $22.2bn

(Figure 1). decline in foreign bond and note holdings by Israeli residents.

Our understanding is that some of the foreign-owned firms in

The source of the surprise was in the primary income again. Israel distributed “super-dividends”, which involved slashing

Foreign direct investors continued to book large profits from their financial holdings that happened to be parked in foreign

their Israeli operations, which added to primary income pay- securities.