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Israel will use $2.8bn to save its economy from coronavirus

March 12, 2020 at 4:15 pm

Israelis wear masks following the coronavirus outbreak in Israel on 2 March 2020 [Mostafa Alkharouf/Anadolu Agency]

Israeli Prime Minister Benjamin Netanyahu announced yesterday that the government would expand an economic package to ten billion shekels ($2.8 billion) to save the economy as the global coronavirus crisis grows.

The announcement was made during a press conference alongside Finance Minister Moshe Kahlon, Minister of Economy and Industry Eli Cohen and Bank of Israel head Amir Yaron.

Some eight billion shekels ($2.2 billion) will be dispersed to businesses, one billion shekels ($281 million) to the health system and another billion to stem the spread of the virus and an unspecified amount will be allocated to the aviation industry, reported the Times of Israel.

Any business that was hit by the virus could request money from the fund.

“Coronavirus is having a big economic impact on the economy,” Netanyahu said.

READ: Palestine plans to close crossings with Jordan due to coronavirus

“We are entering the crisis in a good situation. Our situation is better than most of the world’s economies. That said, there is a challenge here, but we believe we will be able to handle it successfully. Our purpose is to allow the economy to continue functioning, and that we will do with an immediate 10-billion-shekel package: We gave four million, and today we are adding another six million shekels to stabilise the economy.”

Governor of the Bank of Israel Amir Yaron said: “The Bank of Israel will do everything in its power to protect the economy from the ravages of coronavirus. Our end goal is to support the continued activity of Israel’s economy while creating a safety net to ensure it will overcome this difficult time.”

He added: “The prime minister, finance minister and I are all working in full cooperation in order to promote and ensure both the growth and support of the economy.”

Some 100 Israelis have so far tested positive for coronavirus while thousands have been placed in isolation and only four have recovered, according to Haartez.

Finance Minister Moshe Kahlon said additional measures would be announced next week if they are deemed necessary.

READ: Israeli Embassy in Greece shuts down due to coronavirus

Coronavirus is affecting the whole world, will it unite us - Cartoon [Sabaaneh/MiddleEastMonitor]

Coronavirus is affecting the whole world, will it unite us? – Cartoon [Sabaaneh/MiddleEastMonitor]