Israel in April 2026: the most important developments in economy
In April 2026, Israel's economy was dominated by the cost of the war with Iran and by the disruption of oil and gas flows through the Strait of Hormuz. Iran barred tankers from the strait, and on 8 April tanker traffic was halted while Israel struck Lebanon, the month's most widely reported economic story. Oil prices fell sharply after a two-week ceasefire between the United States, Israel and Iran on 7 April, and on 17 April Iran offered to reopen the strait as an Israel-Lebanon ceasefire took effect. The first Japanese tanker passed through on 29 April. Israel's Finance Ministry put the war's budget cost at $11.5 billion, and other estimates ranged up to $17.5 billion. Israel's Leviathan gas platform resumed operations on 3 April after a five-week shutdown, and a second offshore field restarted on 9 April. Gulf states were reported to be weighing pipelines through Haifa to bypass the strait, and the Energy Ministry said the Bazan refinery in Haifa should be relocated rather than closed.
Aviation returned in stages. Israel allowed limited passenger numbers on departing flights in early April, and Ben Gurion Airport fully reopened on 8 April. Wizz Air, Bluebird, Etihad and other foreign carriers announced returns to Tel Aviv, while United cancelled its route until September and major carriers postponed their return.
Trade and arms became a second theme. On 16 April the US Senate rejected an effort to halt arms sales to Israel, though most Democrats voted to block them. In Europe, Spain renewed demands to suspend the EU-Israel trade agreement, while Germany and Italy blocked a bid to do so on 21 April. Israel said it would end arms imports from France, while French exports were reported to continue.
Defence deals continued: Serbia and Israel announced a joint venture to make drones with Elbit Systems, Elbit resumed drone deliveries to Romania, and an Israeli company signed a 650 million euro deal with Greece. On 28 April Ukraine's President Zelensky condemned reported Russian sales of Ukrainian grain to Israel and said sanctions were being prepared.
by WorldBrief & Maksim Micheliov | AI-generated summary
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