Is Israel Increasing Its Defence Spending Amid Ongoing Conflicts?

Synopsis
Key Takeaways
- Israel's defence spending will increase by 42 billion shekels.
- The new budget aims to enhance national security.
- Current annual defence spending is 110 billion shekels.
- Military operations are ongoing in Gaza, the West Bank, and Lebanon.
- The budget reflects the need to address existential threats in the region.
Jerusalem, July 18 (NationPress) Israel is set to elevate its defence expenditure by 42 billion shekels (approximately 12.5 billion US dollars) during 2025 and 2026, as announced by the finance and defence ministries on Thursday.
Reports from local media indicate that this budget agreement will empower the Defence Ministry to "accelerate urgent and vital procurement deals that are essential for national security."
As reported by the 'Times of Israel', Finance Minister Bezalel Smotrich stated that the new defence budget "adequately addresses the intense combat in Gaza, alongside thorough security measures against all threats - from the south, the north, and more distant areas."
Currently, Israel's annual defence spending is 110 billion shekels, which constitutes around nine percent of its gross domestic product, out of a total budget for 2025 of 756 billion shekels, according to Xinhua news agency.
Military expenditures have escalated following Israel's ground and air offensives in Gaza in response to the October 7, 2023 attack, which resulted in approximately 1,200 fatalities and 251 hostages taken by Hamas-led militants, based on Israeli statistics.
In addition to operations in Gaza, Israel has also conducted regular strikes in the West Bank and Lebanon, along with waves of airstrikes in Syria, all of which have drawn significant international condemnation.
Earlier in March, the Chief of the Israeli Defence Forces, Eyal Zamir, remarked that Israel's survival necessitates an ongoing struggle in "a hostile environment" within the Middle East.
"Israel faces a continuous, fundamental existential threat. Surrounded by merciless enemies intent on our destruction, we must persist in bolstering and fortifying the 'iron wall,'" he emphasized, advocating for enhanced military support and an increased defence budget.
This week, Israel's military announced the establishment of a new military route in the Gaza Strip, which bisects eastern and western Khan Younis in the southern part of the territory.
The military described the newly named 'Magen Oz Corridor' as "a crucial element in exerting pressure on Hamas and securing a decisive victory over its Khan Younis Brigade."
Stretching approximately 15 km, this corridor represents the fourth route created by Israel, involving the demolition of buildings and infrastructure to segment the enclave. These territories have historically posed significant hurdles in ceasefire discussions, with Israeli Prime Minister Benjamin Netanyahu pledging not to withdraw forces from several of them.