Steinitz: Israel may beat growth and deficit estimates

Israel’s Finance Minister noted that growth is likely to exceed the Bank of Israel’s Sept. 1 forecast of 2.5%
 
Israel’s Finance Minister Dr. Yuval Steinitz said last week that Israel’s economy may grow faster than forecast next year as exports rebound, reducing the fiscal deficit. Steinitz noted that growth is likely to exceed the Bank of Israel’s Sept. 1 forecast of 2.5%.
 
The fiscal deficit is likely to be about 5% of gross domestic product this year, compared with the 6% ceiling set by the government and next year will probably come in below the 5.5% limit, he said.
 
“We are carefully optimistic,” Steinitz said. “This year, despite the initial gloomy forecast, we hope that growth will be zero, not negative, maybe slightly above zero. Next year, at least toward the end of 2010, we hope to go back to significant growth as before the crisis”.