Israel Proposes Sweeping Economic Reforms Including VAT Changes and Retirement Age Increase
The Israeli Finance Ministry is drafting a comprehensive economic reform plan for 2027-2032, aiming to address fiscal challenges and stimulate growth. Key proposals include eliminating VAT exemptions on fruits, vegetables, and goods in Eilat, raising the retirement age to 70, and reducing pension contributions. The plan also suggests merging or closing several government ministries to cut costs. These measures are part of a broader strategy to reduce the state budget deficit while investing in infrastructure, education, and healthcare. The reforms are designed to adapt to changing economic conditions, such as the rise of electric vehicles and traffic congestion. 
