Israel should issue ‘Munis’ now
As ran in Israel National News Arutz Sheva . A country’s government’s revenue stream can come from a variety of sources other than taxation. Here is why "Munis" are a good option. The cost of Israel's current multi-front war has been estimated to be reaching tens of billions of dollars. The Israeli Finance Ministry reported that in 2024 Israel spent about $46 billion (8.4% of GDP) in total defense spending. The average of “ conflict countries ” is 4.4% of GDP. The ongoing war has obviously put tremendous strain on Israel’s budget and economy, resulting in increased defense spending, projected to continue rising over the next decade. Where will the income needed to close the debt gap come from? Taxation is obviously the primary source of a government’s income. However, if the tax rates are too high it can be an onerous burden on the population, hurt economic growth and even lead to yeridah (Israelis leaving Israel). However, seemingly to contradict ...