The Bank Hapoalim/IPLMA Manufacturing Purchasing Managers’ Index (PMI) rose to 53.6 in October from September’s 51.3. Consequently, the index moved further above the 50.0 no-change threshold, signaling a faster improvement in manufacturing sector operating conditions compared to the previous month.
The headline print reflected stronger improvements in local orders and output. However, exports continued to contract amid deflating global demand. Israel’s recent manufacturing PMI readings compare favorably to those of other developed economies, aided by strong domestic demand and relatively mild energy prices in Israel thanks to the country’s domestic gas production.
FocusEconomics analysts estimate the economy expanding 3.2% in 2023, down 0.2 percentage points from last month’s forecast, before growing 3.4% in 2024.
