Monthly Review August 2025

Preface – Economic Climate

The Israeli economy continues to face significant challenges due to the complex security situation and global market conditions. Economic indicators reflect mixed trends: on the one hand, low unemployment and relatively moderate inflation indicate economic resilience; on the other, the high deficit and rising debt-to-GDP ratio underscore the need for cautious fiscal management. The forecast for moderate growth in 2024 emphasizes the importance of growth-supporting policy measures.

The Israeli economy is advanced and participates in the OECD organization. Its current GDP per capita is $56,803, and its growth rate in Q2 of 2025 was -3.4%.

Israel maintains a 4.7% deficit of the GDP from September 2024 to August 2025.

The debt-to-GDP ratio increased to 69% in 2024, and the unemployment rate was 3% in August 2025. As of August 2025, the annual inflation growth rate declined to 2.9%. In August 2025, the short-term interest rate remained at 4.5%, while the long-term interest rate stood at 1.94% (January 2025).

Statistical Profile

Society

Population (August 2025): 10.119 Million

Economy

GDP per capita (August 2025): $ 56,803

Inflation (August 2025) (Annual Growth Rate): 2.9% 

Current Account Balance (2024): 3.2% of GDP

Trade in Goods and Services (August 2025): $11.95 billion

Finance

US Dollar Exchange rate (August 2025, Avg.): NIS 3.396

Euro Exchange rate (August 2025, Avg.): NIS 4.111

Long-term interest rates (January 2025): 1.94% Per Annum

Short-term interest rates (August 2025): 4.5% Per Annum

Government

Debt to GDP ratio (2024): 69%

Deficit to GDP (September 2024 - August 2025): 4.7% 

Motorization

Level of Motorization (2024): 421 Vehicles/1,000 Residence

Innovation and Technology

Gross Domestic Spending on R&D (2023): 6.3% of GDP

Environment

CO2 Emissions (2023): 6.7 Tonnes Per Capita

Jobs

Employment Rate (August 2025): 62.3% of the Working-Age Population

Official Unemployment Rate (August 2025): 3% of the Labour Force

New Cars and CV Registrations

 New Passenger Car Registration: January-August 2025

Passenger car registration: an increase of 24.2% compared with August 2024.

In August 2025, the Israeli passenger car market registered 28,342 new cars – an increase of 24.2% compared with August 2024. Since the beginning of the year, 212,738 new cars were registered, an increase of 4.5% in deliveries compared with last year. Since January 59,902 new cars with electric propulsion (BEV+PHEV) were registered. The market share of pure EVs currently stands at 17.8%.  

New Passenger Cars Registration According to Brands: January-August 2025

New CV above 3.5-ton Registration: January-August 2025

Commercial Vehicles above 3.5 tons registration: 22.2% increase compared with August 2024.

In August 2025, the Israeli market for CVs above 3.5 tons registered an increase of 22.2% in deliveries with 1,189 new registrations, compared with 973 units in August 2024. Since January, 9,740 CVs and Buses have been registered, the same as Jan-Aug last year.

New CV above 3.5-ton Registration According to Brands: January-August 2025

New Bus Registration According to Brands: Jan-August 2025

Israel's Auto and Auto-Tech industry

Driivz Partners With ENAPI to Expand Global EV Roaming and Simplify Connectivity

Driivz, a Vontier (NYSE: VNT) company and global software supplier to EV charging operators and service providers, announced a partnership with ENAPI, a Berlin-based roaming connectivity platform, to deliver seamless, scalable EV charging across borders and networks, benefitting charge point operators (CPOs), e-mobility service providers (eMSPs), and EV drivers alike. The partnership unites the Driivz Smart EV Charging and Energy Management platform with ENAPI’s Open Charge Point Interface (OCPI)-based roaming broker. The collaboration will provide Driivz customers with instant access to ENAPI’s extensive roaming network, which includes over 350,000 charge points connected via eight of the top 10 eMSPs in Europe. Drivers will be able to use different charging networks across the region with a single payment account. The partnership further extends Driivz’s robust roaming ecosystem, which includes trusted partners like Hubject and GIREVE.

Mobileye President and CEO Amnon Shashua Named to TIME100 AI List

Mobileye President and CEO Prof. Amnon Shashua has been named to the 2025 TIME100 AI, a list recognizing the 100 most influential people in artificial intelligence worldwide. Shashua was recognized for his broad contributions across real-world applications of AI, spanning autonomous driving, robotics, language models, and advanced reasoning.  Autonomous vehicles represent one of the most promising applications of Physical AI — where intelligence must interact with the real world, in real time, with real consequences. Its potential to revolutionize transportation and save millions of lives depends on achieving both safety and scalability, a challenge that has motivated Shashua’s work for more than two decades. Under his leadership, Mobileye has defined a clear path to autonomy and accessible automated driving that balances advanced AI with the engineering precision needed to make it safe, scalable, and transformative.  

Jungo Partners with Patron Compliance Solutions

Jungo (TASE: JNGO), a leader in AI-powered fleet safety and video telematics, announced a new partnership with Patron Compliance Solutions, a US-based provider of fleet compliance, safety, and risk management services for commercial transportation companies. Through this partnership, Patron Compliance Solutions will offer VuDrive, Jungo's all-in-one AI video telematics platform, to its growing network of fleet operators across the US. VuDrive combines dual-facing AI cameras, real-time driver alerts, GPS tracking, and vehicle telematics in a single, plug-and-play device that simplifies compliance and improves driver safety. This partnership continues Jungo's US expansion, helping fleets access powerful, AI-based video telematics through trusted local experts who understand both safety and regulatory demands.

Apollo Power to Supply Flexible Solar Roofing for a Sports Field in Tel-Aviv

As part of a pilot with the Tel Aviv-Yafo Economic Development Authority, and in continuation of the national program for solar roofing of approximately 1,000 public sports fields across Israel, Apollo Power will provide flexible solar roofing for a sports field in Tel Aviv as part of a national program. The pilot, led by the Tel Aviv-Yafo Economic Development Authority, is designed to transform sports fields into community energy hubs, reduce urban heat islands, and improve the use of the fields. The agreement with the Tel Aviv-Yafo Economic Development Authority (a municipal corporation wholly owned by the Tel Aviv-Yafo Municipality) for the development, supply, and installation of a first-of-its-kind pilot flexible solar roofing system to cover a basketball court in the city. The solar system to be supplied by Apollo Power will include the development of a special anchoring system for the panels, and in return, Apollo Power will receive approximately 500,000 NIS from the authority. The solar roofing is intended to contribute to shading the courts, optimize their use, reduce urban heat islands, and produce clean solar energy on existing.

Phinergy and Rosendin team up to deliver clean backup power at scale

A new partnership between Israeli energy tech firm Phinergy and US-based electrical contractor Rosendin is introducing aluminum-air fuel cells as a clean backup solution. Targeted at critical infrastructure across North America, these systems aim to replace diesel generators, offering emissions-free, multi-day resilience. Phinergy’s Aluminum-Air Generator (AAG) uses metal instead of fossil fuels to produce electricity, operating within a closed-loop supply chain that taps into the existing global aluminum industry. With a fully automated production facility and over 30 patents, the company is prepared to scale quickly if market demand follows. Designed for high-reliability use cases, the AAG delivers backup power at a megawatt scale. It aligns with corporate decarbonization goals while sidestepping the emissions and regulatory issues associated with diesel. Rosendin, the US’s largest employee-owned electrical contractor, brings scale and integration experience to the table. With a workforce of over 10,000 and projected 2025 revenue above $5.5 billion, the company has spent years evaluating energy systems that can supplement or replace grid dependency. Its Renewable Energy Group has installed nearly 9 GW of utility-scale projects and offers end-to-end services from battery integration to microgrid deployment.

Opsys Deploys Four New Live Sites in Atlanta to Enhance Traffic Measurement and Pedestrian Safety with Their Advanced LiDAR Technology

Opsys, producer of the world’s most advanced Pure solid-state scanning LiDAR, announced the deployment of four new LiDAR units in Peachtree Corners, a suburb of Atlanta. This leverages their cutting-edge LiDAR technology to improve traffic management, pedestrian safety, and public event monitoring. These innovative smart city solutions exemplify Opsys’ commitment to paving the way for smarter, safer urban environments. Utilizing Opsys’s advanced ALTOS sensors equipped with embedded perception technology, the features the sensors include are traffic monitoring, pedestrian detection, and crowd and event monitoring. The platform operates seamlessly without prior integrations, demonstrating the versatility of Opsys’ all-in-one sensing and analytics platform. Powered by Opsys’ proprietary technology, the solution offers real-time insights that empower city planners, traffic authorities, and public safety agencies. The deployment is part of Curiosity Lab's (a partner of Opsys) ecosystem. The new deployments bring with them numerous benefits, whether it’s improving pedestrian safety and traffic flow, reducing congestion, or better crowd management at events.