What Netanyahu's Judicial Reforms Mean for Israel's Economy
MIN READFeb 28, 2023 | 20:41 GMT
People march on a street in Tel Aviv, Israel, on Feb. 11, 2023, to protest against controversial judicial reforms being touted by the country's right-wing government.
(JACK GUEZ/AFP via Getty Images)
Israel's controversial judicial reforms will likely cause only marginal near-term harm to some aspects of the country's investment attractiveness. Still, deeper economic problems will manifest over time if the government continues to enact far-right policies. Israel's central bank chief Amir Yaron and the Finance Ministry's chief economist Shira Greenberg reportedly told ministers on Feb. 23 that the government's push to overhaul the country's judicial system could quickly trigger an economic crisis. According to comments cited by The Times of Israel, Greenberg specifically said the reforms could create a ''snowball effect'' by being ''perceived by the market as damaging the strength and independence of state institutions and increas[ing] uncertainty in the investment environment.'' The remarks come as Israeli Prime Minister Benjamin Netanyahu's new right-wing government is pursuing policy changes that would give the country's legislature the power to override Supreme Court decisions -- fueling fears among tech, business and financial leaders over...