The Melnick State of the Economy Index increased by 0.3 percent in March

Signs of improvement in business sector growth in the first quarter of 2018

The sharp fluctuations in imports of inputs for domestic production continue

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The Melnick State of the Israeli Economy Index increased by 0.3 percent in March 2018. In the first quarter of 2018, there was an improvement in the growth of the business sector. The revenue in commerce and services, which reflects domestic demand and especially private consumption, continues to indicate strength, which indicates an increase in private consumption and its contribution to economic growth. The index of industrial production, which reflects the supply side of the business sector, continues to reflect the difficulties faced by industry. Recently, the import index indicates unusual fluctuations that apparently reflect measurement problems. The number of employee posts in the business sector continues to reflect strength in the labor market.

The March index components include: a decrease of 3.3% in the index of industrial production in February, following an increase of 4.4% in January; an increase of 1.2% in the revenue in commerce and services in February, following a decrease of 0.8% in January; a decrease of 6.4% in the import index in March, following an increase of 19.6% in February, and a decrease of 0.4% in the number of employee posts in the business sector in January, following a decrease of 0.2% in December.

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