Ministry of Finance: 2006 growth forecast was updated from 4.1% to 5.3%

The Ministry of Finance announced last week that it had updated its 2006 growth forecast from 4.1% to 5.3%. the decision to update followed a high growth figure of an annualized 6.6% - for the first quarter.
 
It is understood that the decision to update was in line with the high growth rates for industrial output, tourism, and the Bank of Israel State of the Economy Index.
 
The latest growth update is the second time that the ministry has raised its growth forecast for 2006. Last February, the bank raised its annual forecast from 3.9% to 4.1%. It is widely expected that the growth forecast may be raised again to 5.5-6% in July or August.