Israel is located in the Middle East, bordering the Mediterranean Sea, Egypt, and Jordan.  It occupies 20,770 sq. km, which is slightly larger than the state of New Jersey.  Israel has a population of 7.7 million, growing at 1.51%.  Its largest city, Tel Aviv, is home to 3.3 million people and its capital, Jerusalem, has 768,000 people.  The population is mostly Jewish, with a significant number of (mostly Arab) Muslims, and the people are ruled by a parliamentary democracy.  Hebrew is the official language, but Arabic is official among the Arab minority and English is the most commonly used foreign language.  The currency used is the Israeli Shekel. 

 Despite its lack of natural resources and need to import oil and natural gas, Israel has a fairly stable economy that has been less volatile than others in the wake of the global economic crisis.  Although the economy recessed a bit in 2009, Israel’s prudent fiscal policy has helped it recover quickly.  Israel’s economy has a very advanced technological market, and cut diamonds, high-tech equipment (such as aviation and communications equipment), and machinery are among its leading exports, along with fruits and vegetables.  Israel exports mainly to the United States and the European Union.  Exports to these areas were reduced in the recession, but government-created economic stimulus and strong banking sector anchored the Israeli economy and provided for its prompt recovery.  

Demographic Data   Economic Data    Cultural & Other Data   
Area (sq. km.)   20,770  GDP (PPP, $bn)   252.8  Capital   Jerusalem 
Population (million)   7.7  GDP Real Growth (%)   3.1  Other Large Cities   Tel Aviv, Haita 
Population Growth       (%)   1.5  PerCap GDP ($)   32,800  Primary Language   Hebrew 
Population Under     15yrs (%)   27.3  Prime Lending               Rate (%)   5.14  Urbanization   91.9 
Population below poverty line (%)   23.6  Inflation Rate%   1.7  Urban Growth        1.73 
Agricultural Workers    (% of population)   2  Unemployment%   6.9  Literacy  (population %)   97.1 
Industrial Workers     (% of population)   16  Foreign          Direct     Investment ($bn)   75.94  Education spending              % of GDP   5.9 
Service Workers        (% of population)   82  Debt-External ($bn)   94.34  CPI Score           (1-100)*   60 
Labor Force (mil)   3.606  Exports ($bn)   61.54  Corporate Income Tax %   24 
      Imports ($bn)   72.03  Ease of Doing Business Ranking **   38 


Click on the links below for information on Franchising in Israel

Taking Your Brand to the Middle East 

Building Goodwill and U.S. Brand Awareness in the Middle East 

Expanding Your Brand in the Middle East: A Fresh Perspective 

Doing business in Israel (2012)

Expanding Your Brand In the Middle East: A Fresh Perspective (2012)


* CPI Score is published by Transparency International and relates to the perceptions of the degree of corruption as seen by business people and country analysts and ranges between 100 (highly clean) and 0 (highly corrupt).  

**Ease of Doing Business Ranking is determined by the World Bank Group and is ranked out of a possible 185 countries.  

Most recent statistics have been taken from the CIA World Factbook unless noted otherwise. 


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