Israel: A Bad Brand in World Markets

By Ramzy Baroud

In an important step toward the economic isolation of Israel due to its genocide in Gaza, Norway’s Government Pension Fund Global has decided to divest from yet more Israeli companies.

Norway’s sovereign wealth fund is the world’s largest, with total investments in Israel once estimated at $1.9 billion. The decision to divest was taken gradually but is consistent with the Norwegian government’s growing solidarity with Palestine and rising criticism of Israel.

Taking a leading role along with Spain, Ireland, and Slovenia, Norway has been a vocal European critic of the Israeli genocide and man-made famine in Gaza, actively contributing to the International Court of Justice’s investigation into the genocide, and formally recognizing the state of Palestine in May 2024. This diplomatic and legal stance, coupled with its financial divestment, represents a coherent and escalating effort to hold Israel accountable for the ongoing extermination of Palestinians.

The Israeli economy was already in a state of free-fall even before the genocide. The initial collapse was related to the deep political instability in the country, a result of Israeli Prime Minister Benjamin Netanyahu and his extremist government’s attempt to co-opt the judicial system, thus compromising any semblance of “democracy” remaining in that country. This resulted in a significant lowering of investor confidence.

The war and genocide, beginning on October 7, 2023, only accelerated the crisis, pushing an already fragile economy to the brink. According to reports from the Israel Ministry of Finance, foreign direct investments in Israel fell by an estimated 28 per cent in the first half of 2024 compared to the same period in 2023.

Any supposed recovery in foreign investments, however, was deceptive. It was not the outcome of a global rallying to save Israel, but rather a consequence of a torrent of US funds pouring in to help Israel sustain both its economy and the genocide in Gaza, along with its other war fronts.

Israel’s Gross Domestic Product was estimated by the World Bank to be around $540 billion by the end of 2024. The war on Gaza has already taken a considerable bite out of Israel’s entire GDP. Estimates from Israel itself are complex, but all data points to the fact that the Israeli economy is suffering and will continue to suffer in the foreseeable future. Citing reports from the Bank of Israel and the Ministry of Finance, the Israeli business newspaper Calcalist reported in January 2025 that the cost of the Israeli war on Gaza had already reached more than $67.5 billion. That figure represented the costs of the war up to the end of 2024.

Keeping in mind that the ongoing war costs continue to rise exponentially, and with other consequences of the war, including divestments from the Israeli market by Norway and other countries, future projections for the Israeli economy look very grim. The Israeli Central Bureau of Statistics reported that the Israeli economy, already in a constant state of contraction, shrunk by another 3.5 per cent in the period between April and June 2025.

This collapse is projected to continue, even with the unprecedented US financial backing of Tel Aviv. Indeed, without US help, the precarious Israeli economy would be in a much worse state. Though the US has always propped up Israel, with nearly $4 billion in aid annually, the US help for Israel in the last two years was the most generous and critical yet.

Israel is the recipient of $3.8 billion of US taxpayer money per year, according to the latest 10-year Memorandum of Understanding signed in 2016. Equally, if not more valuable than this large sum are the loan guarantees, which allow Israel to borrow money at a much lower interest rate on the global market. The backing of the US has, therefore, enabled investors to view the Israeli market as a safe haven for their funds, often guaranteeing high returns. This applies to the Norwegian sovereign wealth fund as it did to numerous other entities and companies.

Now that Israel has become a bad brand, affiliated with unethical investments due to the genocide in Gaza and growing illegal settlement expansion in the West Bank, the US, as Israel’s main benefactor, has stepped in to fill the gaps.

The US emergency supplemental appropriations act of April 2024 allocated a total of $26.4 billion for Israel. While much of the money was earmarked for defense expenditures, in reality, most of it will percolate into the Israeli economy. This amount, in addition to the annual military aid, allows the Israeli government to minimize spending on defense and allocate more money to keep the economy from shrinking at an even faster rate.

Additionally, it will free the Israeli military industry to continue producing new, sophisticated military technology that will ensure Israel’s continued competitiveness in the arms market. The military-industrial complex, a significant part of the Israeli economy, is thus not only sustained but given a fresh impetus by American aid, ensuring the war machine continues to function with minimal financial disruption.

All of this should not diminish the importance of divestment from the Israeli financial system. On the contrary, it means that divestment efforts must increase significantly to balance out the US push to keep the Israeli economy from imploding.

Moreover, this should also make US citizens, who object to their government’s role in the genocide in Gaza, more aware of the extent of Washington’s collaboration to save Israel, even at the price of exterminating the Palestinians. Indeed, the flow of funds from the US is not a passive action; it is an active collaboration that directly enables the Israeli genocide in Gaza.

Ramzy Baroud is a journalist, author and the Editor of The Palestine Chronicle. He is the author of six books. His forthcoming book, ‘Before the Flood,’ will be published by Seven Stories Press. His other books include ‘Our Vision for Liberation’, ‘My Father was a Freedom Fighter’ and ‘The Last Earth’. Baroud is a Non-resident Senior Research Fellow at the Center for Islam and Global Affairs (CIGA). His website is www.ramzybaroud.net

Jordan Times

CrossFireArabia

CrossFireArabia

Dr. Marwan Asmar holds a PhD from Leeds University and is a freelance writer specializing on the Middle East. He has worked as a journalist since the early 1990s in Jordan and the Gulf countries, and been widely published, including at Albawaba, Gulf News, Al Ghad, World Press Review and others.

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Iran is Writing The Final Chapter!

By Ziyad Farhan Al-Majali

In major wars, results are not always measured by the ‘noise volume’, number of airstrikes, or the extent of the military maps displayed on TV screens. Sometimes the noise is louder than the decisive action, and the roar is stronger than the ability to end the battle.

From this perspective, the Israeli-American war on Iran can be read as a tumultuous moment in the history of regional conflict. Here however, it was not the final moment which Israel desired and was looking for.

Tel Aviv wanted to present the war as its declaration of its superiority, one that would be final. It wanted to say that its reach could penetrate deep inside Iran, that the old balance of deterrence was broken, and that the aftermath of the strike would not be the same as it was before.

Therefore, Israel’s “lion roar” was to be loud from the very beginning: Threatening rhetoric, painful strikes, psychological warfare — a clear attempt to portray Iran as a state exposed to Israeli and American power.

But the roar by itself, however loud it boomed, was not enough to bring about a political end. True, Iran suffered heavy blows, with sensitive facilities, infrastructure and sites sustained significant damage, finding itself facing a broad economic, military, and psychological siege and pressure.

Yet, despite all this, the war did not topple the Iranian government, nor did it remove the state from the regional equation, nor did it end its nuclear program as a negotiating issue, nor did it break its deterrent and maneuvering capabilities.

Herein lies the central paradox of this war. Israel raised the stakes to their highest points, but it did not achieve a decisive victory. Israel sought to eliminate the so-called Iranian threat with a single strike or a series of blows, only to discover that Iran is not a military site that can be wiped off the map, nor a single facility whose destruction would end the conflict.

Rather, it is a deep-rooted, expansive state with multiple levers of pressure: From the Strait of Hormuz to Lebanon, from missiles to air corridors, from allies to the capacity for long-term patience. Iran is a tough nut!

Perhaps the most dangerous revelation of the war is that it did not produce a definitive answer, but rather raised even greater questions. Can military force alone reshape Iran? Can bombing impose a stable political settlement? Will weakening Tehran lead to its expulsion from the region, or will it push it to rebuild its influence more cautiously and covertly? Was the war the beginning of the end, or the start of a new phase of a postponed conflict?

Iran emerged from the war wounded, but it didn’t exit the negotiating table. It appeared battered, but it did not collapse. Maybe besieged but it is still holding cards. Whilst today Iran might be in a predicament, but it has not lost its ability to negotiate, to threaten, and wait for the next move.

This is precisely is what is making the outcome far more complex than what Israel has tried to portray: The war may have succeeded in inflicting pain on Iran, but it did not  eliminating the Iranian state and its apparatus.

While Israel may have achieved a significant show of force, it did not achieve an outright and decisive victory. The decisive outcome it sought remained incomplete, and the deterrence it aimed to restore remained contingent on what would follow after the war: Would Iran back down? Would it retaliate? Would it accept American terms? Would it open the Strait of Hormuz according to Washington’s wishes? And would the Lebanese front be detached from Tehran’s calculations, or would it remain part of the long-term equation of retaliation?

Therefore, the war does not appear to be the end of the conflict with Iran, but rather a new chapter in a broader, protracted struggle. In this chapter, Israel raised its voice to the maximum, but it could not write the final chapter. States do not fall through mere bluster, regional projects do not end with a single blow, and conflicts that have accumulated over decades are not resolved in days, no matter how intense the fighting is.

In short, Israel’s “roar” was loud, perhaps painful, and perhaps unprecedented in some aspects, but it was not enough to topple Iran or remove it from the scene. The din of war has risen, the region has been shaken, and calculations have shifted, but Iran remains on the precipice, not outside history.

Therefore, the most accurate description of this phase is not a complete Israeli victory, nor an Iranian resistance without cost, but rather a war whose end is not yet in sight: A war in which Israel roared loudly, but was not able to bring down Iran.

This article was reproduced from the Jo24 Arabic website in Jordan and appears in the www.crossfirearabia.com.

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Gaza Fishermen Dream of Life Prior to 7 Oct

CROSSFIREARABIA – The fishing industry, once a pillar of the Gaza economy, now stands in total devastation due to Israel’s continuing war on the 364-kilometer Strip that doesn’t seem to stop despite the fact that a ceasefire was signed on 10 October, 2025.

Zakaria Bakr, General-Secretary of the General Union of Workers in Fishing and Marine Production affirmed that the Gaza fishing sector — which for decades has been a primary source of income for thousands of families and a key pillar of food security — is now in ruins because of the more than two and a half years of Israeli bombing on the Gaza Strip, including on its beaches and coastal areas. Its a narrative of devastation. 

Bakr said the systematic targeting of the fishing industry by Israeli occupation forces has lead to its near-total collapse.

Speaking to Quds Press, Bakr said that this targeting has included an almost complete ban on fishermen and preventing them from going a few hundred meters after the shoreline; a situation  made with vehemence soon after 7 October, 2023 when Israel launched a destructive war on the Strip and with no let up.  

Bakr added that lethal force started to be used against fishermen not to step even meters into the Gaza blue shorelines.  They still take the risk because of the miserable economic situation they have been reduced to. But this has proved costly for more than 230 of them have been shot dead at point  blank range.

The union chief says hundreds have been arrested as well, explaining the fishing sector has been subjected to mass destruction affecting up to 95 percent of its infrastructure, with fishing boats ruined and warehouses struck either by Israeli gunboats and/or missiles from the air.

UN figures as well testify to this fact, stating the fishing infrastructure include ice factories, storage facilities, maintenance workshops and wholesale fish markets which have been destroyed over the past two-and-a-half years of slaughter.

This has led to the near-total collapse of the fishing industry, depriving thousands of families of their only source of income. Today, it’s a stark contrast. Prior to October 2023, there were 4200 registered fishermen with 6000 support workers on the boats and the fishing sector sustained around 100,000 people in Gaza but no more.

The destruction of the sector has created an additional food security crisis. Before October 2023, the fish total annual tonnage production stood at 5,410 according to the UN Food and Agriculture Organization. Today, its less than 7.3 percent.

It is indeed a hard life for fishermen.  Before October 2023 Gaza fishermen used to catch between them, 15,000 to 20,000 kilos, daily. Now, it is down to a trickle with UN feeds reporting a mere 2 to 5 kilograms of fish daily, and I dare say, if they can pass the Israeli gunboats and snipers who are waiting near the coast.

Bakr added that what Gaza’s fishermen are going through from the Israeli gunboat harassment is a blatant violation of the Universal Declaration of Human Rights, particularly the rights to work, life, and dignified living. It directly contradicts the core principles established by the International Labour Organization regarding safe working conditions and the protection of workers, he pointed out.

Bakr said despite the hopelessness of the sector, his union continues to be active, recently sending letters to several international organizations to present them with the grim reality facing the fishing sector in Gaza. These organizations included the United Nations, the International Labour Organization, the UN Food and Agriculture Organization (FAO), International Committee of the Red Cross, as well as other international and human rights institutions.

 “We informed these institutions, on behalf of the fishermen of the Gaza Strip, of the scale of the catastrophe facing this labor-intensive sector, which represents one of the oldest and most important economic, social, and cultural components of Palestinian life and society, and which today, is facing one of the harshest humanitarian and professional crises of modern times,” he added.

He noted that the union has called on international institutions to take a number of urgent measures, most notably providing immediate international protection for fishermen while working at sea, pressuring for the lifting of restrictions on access to fishing areas in a safe and unrestricted manner, and halting all forms of targeting against fishermen and their equipment.

He also called for support in rehabilitating the fishing sector, including boats and related infrastructure, providing urgent assistance programs for affected families, and dispatching fact-finding missions to document violations against fishermen and issue official reports on them.

Bakr stressed that what Gaza’s fishermen are enduring today represents “a stain on the conscience of the international community,” which remains powerless in the face of depriving civilian workers of their most basic rights to work and life.

He called on international institutions to assume their legal and humanitarian responsibilities and to take urgent action to put an end to this tragedy, ensuring that Gaza’s fishermen can safely return to the sea and restore their legitimate right to work and live with dignity.

A once proud fishing industry, today, it is not, thanks to the Israeli bombardment that topped over 100,000 tons of explosives and dynamite. Fishermen and their families will never forgive the hateful and vengeful Israelis who today reduced their sector to 50 small boats for the entire 40-kilometer coastline that stretches from Rafah in the south to Israel in the north.  

The Gaza fishing industry once used to have 2000 fishing vessels with more than a 1000 motorized boats and 900 rowboats generating $10-15 million to Gaza’s local economy, 3 percent of the entire Palestinian GDP.

“All my money is gone. Out of my big 17-meter boat and 10 smaller boats, nothing remains but metal sticking out of the water. The sea was an integral part of the Gazan economy; fishermen would feed their families with their catch and could make a good living. Now, everything is in ruins,” says Jamal Al Moodi, a once proud Gaza fisherman.

Dr Asmar is a writer based in Amman and is the editor of www.crossfirearabia.com

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