Southern Businesses Begin Recovery Three Years After October 7
Translated & summarized from Now 14 by baba
Three years after the October 7th attacks, businesses in southern Israel are undergoing a recovery process with government assistance. In 2026, 180 businesses received 223 million shekels in investment approvals and 111 million shekels in grants. A 200 million shekel loan program was also launched for small and medium-sized businesses. The government is also supporting tourism and has a 17 billion shekel multi-year development plan for the region.
The story in 5 lines · by baba
- Hundreds of southern Israeli businesses are in recovery three years after the October 7th attacks.
- 180 businesses received 223 million shekels in investment approvals and 111 million shekels in grants in 2026.
- A 200 million shekel state-guaranteed loan program is available for small and medium-sized businesses.
- The tourism sector is receiving up to 13 million shekels for infrastructure development.
- The Tikva Administration has a multi-year development plan for the region worth approximately 17 billion shekels.
Hundreds of businesses and industrial plants in southern Israel are beginning their recovery process, three years after the October 7th attacks. The Israeli government is implementing rehabilitation programs, allocating hundreds of millions of shekels towards investments, equipment, and loans to help businesses resume operations and strengthen the regional economy.
According to the Tikva Administration, 180 applications from businesses and industrial plants were approved in 2026 under the rehabilitation track. These approvals amount to 223 million shekels in investments, with 111 million shekels in grants. Notable recipients include Nirlat in the Gaza envelope, Dfus Bari, Tafgan Industries in Sha'ar HaNegev, and factories belonging to Osem, Strauss, and Top Gum. This aid is specifically for investments in equipment and machinery.
Small and medium-sized businesses are also receiving support. In September 2026, the Tikva Administration, in conjunction with the Ministry of Finance's Accountant General, launched a state-guaranteed loan program totaling 200 million shekels. This program is available to small and medium-sized businesses in the Tikva region and those relocating operations there. Loans can be up to 500,000 shekels or 8% of annual turnover, whichever is higher, with interest capped at prime plus 1%, a repayment period of up to seven years, and limited collateral requirements.
The recovery efforts extend to the tourism sector, with up to 13 million shekels allocated in 2026 for supporting tourism anchors in the region. The goal is to develop tourism infrastructure and encourage business activity in this field. The Tikva Administration is also advancing a broader regional development plan encompassing employment, infrastructure, agriculture, industry, and tourism, with a multi-year budget of approximately 17 billion shekels as of September 2026.
While significant funds are being channeled into economic recovery, the ultimate success hinges on whether this aid will enable affected businesses to fully resume operations, reinvest, and continue functioning in the region three years post-October 7th.
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