Israeli Consumer Spending Hits Record High in July Despite Cost of Living Concerns

In July 2026, Israeli consumer spending surged to unprecedented levels despite ongoing concerns about the high cost of living. According to data from Sheba, the company managing national payment systems for credit cards and ATMs, total debit card expenditures reached 54.857 billion shekels, marking a 5.8% increase compared to July 2025's 51.862 billion shekels. The daily average spending also set a new record at 1.771 billion shekels, up 3.1% from June's 1.718 billion shekels, representing the second consecutive month with daily averages exceeding 1.7 billion shekels.

Online transactions accounted for the majority of purchases, totaling 31.916 billion shekels, a 4.5% rise from the previous year. The daily average for online shopping increased by 3% from June to 1.031 billion shekels. Concurrently, cash withdrawals from ATMs rose to 6.057 billion shekels, the highest since August 2023, just before the outbreak of Operation Iron Swords. The daily average cash withdrawal was 195.4 million shekels, a 2% increase from June.

Sheba did not provide specific reasons for the spending increase, but seasonal factors likely contributed. July is a busy month for moving homes, often involving cash payments to movers and service providers, and it coincides with the summer travel season, which drives demand for foreign currency at exchange bureaus.