The Israeli economy experienced a significant contraction of 19.4% in the final quarter of 2023, according to the country’s Central Bureau of Statistics. This decline was largely attributed to the outbreak of the Iron Swords War in October 2023. Preliminary data revealed that the gross domestic product (GDP) shrank at an annualized rate of 19.4% during this period, driven by a substantial 26.9% decrease in private consumption as households reduced spending due to the Gaza war and a decline in confidence. In the preceding quarters of 2023, the GDP growth rates were 3.1%, 2.8%, and 2.7%. Overall, the Israeli economy grew by 2% in 2023, a significant decrease from the 6.5% growth experienced in 2022. The ongoing conflict in Gaza has resulted in a high number of casualties, widespread displacement, and severe shortages of essential resources, leading to accusations of genocide against Israel at the International Court of Justice.