|IMF Staff Conclude Visit to Israel-continued
|May 24, 2019--Fiscal deficits are expected to rise in 2019 and coming years under current policies. The budget for 2020 will need to take revenue and spending measures to avert increases in public debt burdens and to facilitate reforms to boost growth.|
|The establishment of the Financial Stability Committee is welcome. Any new legislation on banking supervision should protect the operational independence of the supervisor to safeguard its effectiveness.
Faster productivity growth is needed to sustain Israel's robust economic performance, calling for a package of reforms to reduce regulatory red tape, enhance transport infrastructure, and upgrade education and training.