Israel Launches NIS 1.6 Billion Package for Exporters and High-Tech Firms

Israel's Finance Ministry launched a NIS 1.6 billion emergency package on Tuesday to support export and high-tech sectors facing pressure from the shekel's sharp appreciation. The plan directs roughly NIS 1 billion to fast-track grants for early-stage and growth-stage tech firms.

Additional measures include NIS 175 million for advanced manufacturing equipment, NIS 25 million to expand exporter support programs, and NIS 10 million for employer-led vocational training.

The shekel has appreciated roughly 20 percent against the dollar over the past year, reaching a 33-year peak. Officials said the currency shift has shortened start-ups' cash runways despite a 45 percent increase in funding raised during the first five months of 2026.

An interministerial committee will assess long-term competitiveness ahead of the 2027 budget. The package also expands accelerated depreciation benefits at an estimated fiscal cost of NIS 360 million. Finance officials stated the program builds on prior initiatives such as expanded R&D tax incentives, the NIS 580 million Yozma Fund, and the nearly NIS 3 billion National Artificial Intelligence Program.

"The appreciation of the shekel and fluctuations in exchange rates present significant challenges for Israel's export industries and hi-tech sector," Budget Commissioner Maharan Frozenfar said. IIA CEO Dror Bin said the NIS 1 billion allocated to high-tech would help companies navigate shifting global conditions.

Manufacturers Association President Avraham Novogrotsky called the package an important step but said it should be expanded over time. Karin Mayer Rubenstein, CEO and president of the Israeli Association for Advanced Industries, said many companies need immediate tools to maintain operations in Israel rather than growth incentives.