Country Risk Analysis State of Israel

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Country Risk Analysis State of Israel

• Choochart Atireklarp
• Dragos Cazacu

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Analysis Framework

• I. Country Overview
• II. Macro-economic Analysis
• Key Figures
• Debt Analysis
• III. Ratings Rankings
• IV. Overall Risk Appreciation

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Country Overview (1)

• The official emblem of the State of Israel is the
  menorah, the 7-branched candelabra, derived from
  the plant known in antiquity by the name
  Moriah, representing the Jewish peoples
  yearning for peace.

• The design of the Jewish prayer shawl (tallit),
  with a blue Shield of David (Magen David).

Source http//www.israel-mfa.gov.il
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Country Overview (2)

• In the Middle East, along the eastern coastline
  of the Mediterranean Sea.
• Bordered by Lebanon, Syria, Jordan and Egypt.
• Lies at the junction of three continents Europe,
  Asia and Africa.
• Between 31 30 N, 34 45 E.

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Country Overview (3)

• Capital Jerusalem
• Area 20,770 sq km (smaller than New Jersey)
• Population 6,048,093 (July 2001)
• Natural Resources timber, potash, copper ore,
  natural gas, phosphate rock, clays, sand, oil

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Country Overview (4)Main Cities
Cities Population Purposes
Jerusalem (capital largest city) 646 000 Centre of Jewish and spiritual life The seat of government.
Tel Aviv 349 000 Centre of the countrys industrial, commercial, financial, and cultural life.
Haifa 268 000 Port industrial, commercial centre of northern Israel.
Beer Sheva 169 000 Administrative, economic, health, education and cultural services for the entire southern region.
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Country Overview (5)History
c 1020 Jewish Monarchy established Saul first king.
c 1000 Jerusalem made capital of Davids kingdom.
c 960 First temple the national and spiritual centre of the Jewish people Solomon.
c 930 The kingdom divided into Judah and Israel.
c 210 Codification of Jewish oral law (Mishnah) completed.
1564 Code of Jewish law (Shulhan Arukh) published.
1948 End of British Mandate (14th May) and State of Israel was proclaimed.
1949 Armistice agreements signed with Egypt, Jordan, Syria, Lebanon First Knesset (parliament) elected.
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Country Overview (6)History
1967 In June, Sinai, the Gaza Strip, was captured, the whole city of Jerusalem was brought under Israel's sovereignty.
1975 Israel becomes an associate member of the European Common Market.
1979 Israel-Egypt Peace Treaty signed.
1982 In April, Israel withdrew from the Sinai pursuant to the 1979 Israel-Egypt Peace Treaty.
1985 Free Trade Agreement signed with United States.
1991 Peace talk with Jordan, Syria, Lebanon the Palestinians.
1992 Diplomatic relations established with China and India.
1993 The Palestine Liberation Organisation (PLO) has let to Israel's withdrawal from most of the Gaza Strip part of the West Banks.
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Country Overview (7)History
1995 In Nov., Prime minister, Yitzhak Rabin was assissinated.
1996 In June, Right-wing coalition took office.
1996 Fundamentalist Arab terrorism against Israel escalates.
1998 Israel celebrates its 50th anniversary.
1999 In May, the coalition collapsed, and Early elections was held New government led by Ehud Barak was short-lived.
2000 In May, Israel withdrew unilaterally from southern Lebanon, which it had occupied since 1982.
2001 In Feb., special prime-miniterial election was held Likud leader-Ariel Sharon won a landslide victory.
2002 Isarel Palestinian conflicts, causing the rise in oil price from less than 20 to more than 27 (April 3, 2002)
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Country Overview (8)
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Executive Branch
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Legislative Branch
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Age Structure Religions
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Ethnic Groups
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II. Macro-Economic Analysis
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Israels Economy (1)
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Israels Economy (2)

• Agriculture citrus, vegetables, cotton, beef
• Exports 27,15 billion (2001 fob)
• Imports 30,8 billion (2001 fob)
• Debt-external 69,24 billion (2001)
• Total debt service 10,756 million
• International reserve assets 24 647
  billion (2001)
• Debt-service ratio, paid () 15,53 (2001)
• Real GDP ( change) -1,95 (2001)
• Consumer prices ( change av) 1,31 (2001)
• Economic Aid recipient 1,1 billion from US
• Military Expenditures 8,7 billion (FY99)
• Military Expenditures of GDP 9,4 (FY99)

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Trade Zones 2001 (incl. diamonds)Exports
Imports
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