As the war against Iran enters its second month, the financial hemorrhage in Israel has accelerated at an unprecedented pace, amid the mounting costs of successive wars that began in Gaza and did not remain confined there.
Estimates from the Bank of Israel indicate that the indirect economic damages from the wars in Gaza and Lebanon during 2024 and 2025 have reached approximately $57 billion. Meanwhile, according to official estimates covering the war against Gaza, the war against Lebanon, and the war against Iran up to last year, the direct costs of the wars since October 2023 have exceeded $112 billion.
In this regard, the Israeli economic newspaper Calcalist has estimated the cost of the war against Iran in just 38 days at approximately $15 billion, while the regime's Ministry of Defense has requested the allocation of over $12 billion in additional budget to cover military expenses.
This surge in costs has been directly reflected in Israel's domestic sphere, meaning that each Israeli family has borne approximately $33,000 of the burden of the successive wars since 2024. This is an indicator of the transfer of the war's effects from military fronts into the depths of daily life in Israel.
The impacts of this situation are not limited to Israel's public budget but have also spread to various sectors of the regime's economy, particularly in the high-tech sector, which is considered one of the main pillars of Israel's economy.
According to a survey by the Israel Innovation Authority, 87 percent of companies in this sector are suffering from delays in product development and launch, 71 percent are facing difficulties in securing capital, and 10 percent of companies have been forced to send their employees on unpaid leave.
