Israel: $3 Billion Damage from Iranian Attacks – Economic Impact

Israel announced that the 12-day war with Iran caused $3 billion in damages, according to estimates from the Ministry of Finance and the tax authority. The damages relate to infrastructure repairs and business compensation.

The Director General of the Tax Authority, Shai Aharonovitz, described the impact as "the biggest challenge we have ever faced." Finance Minister Bezalel Smotrich estimates the total bill could reach $12 billion, while the Governor of the Bank of Israel, Amir Yaron, estimates the cost at $6 billion.

The attacks began after an Israeli strike on June 13. Schools and businesses remained closed. Compensation for businesses is estimated at 5 billion shekels. The attacks targeted densely populated areas, such as Tel Aviv, and critical infrastructure, such as the Weizmann Institute of Science and a refinery in Haifa.

The toll includes 28 deaths in Israel and 1,300 injuries, while Tehran announced 627 deaths.