Jerusalem, 10 November, 2026 (TPS-IL) — S&P Global Ratings has raised Israel’s economic growth forecast to 5.5% for 2026 and 7% for 2027.
The credit rating agency attributed this sudden upward revision to the significant economic impact of Nvidia’s global activities and the offshore production of multinational corporations using Israeli intellectual property, drawing structural comparisons to Ireland’s tech-driven GDP model.
Despite the surging growth outlook driven by these massive technological revenues, S&P left Israel’s sovereign credit rating unchanged at ‘A’ with a stable outlook.
The agency cautioned that severe geopolitical and fiscal pressures remain entrenched. High security risks persist across multiple fronts, including ongoing conflicts in Gaza and Lebanon alongside broader escalation risks with Iran. These defense strains continue to drive heavy fiscal expenditures, balancing the foreign-tech economic boom against acute domestic security uncertainties.