Israelis Show Highest Consumer Confidence in Nearly Five Years

Despite ongoing challenges, Israelis are exhibiting a cautious optimism about the future, with consumer confidence reaching its highest point in almost five years. Data from the Central Bureau of Statistics (CBS) reveals a significant improvement in expectations, though spending on major purchases remains hesitant.

The consumer confidence index, which has fluctuated significantly in recent years, stood at -12% at the end of 2021 during the COVID-19 recovery. It dropped to -18% in January 2022 and ranged between -14% and -23% that year. Even before the war in 2023, confidence was low, at -18% in September. The conflict caused a sharp decline, with the index falling to -24% in October 2023 and -29% in November. Throughout 2024, confidence remained subdued, hitting a low of -30% in November. A notable recovery occurred in October and November 2025, with the index rising to -15%, but this was not sustained, hovering between -16% and -22% from January to September 2026 until the latest figures.

The recent improvement is spread across three of the four components measured. The assessment of household economic situations over the past year improved from -16% to -10%. Expectations for the coming year saw a positive shift, rising from a balance of 0.9% to 7%. Confidence in the national economy also improved, moving from -26% to -17%.

However, the component related to major purchases remains a weak point, standing at -31%. Compared to selected OECD countries, Israel's consumer confidence index of -15% is better than the Eurozone average of -18%. Germany (-15%), France (-22%), and the UK (-18%) are all more pessimistic. Spain (-4.4%) and Sweden (-7.9%) show higher confidence levels, while Greece is the most pessimistic at -49%. All presented countries have negative indices.