Download as % of GDP

•
•
•
Gross Domestic Product - $217 billion
GDP growth – 4.8% (2011),
GDP per capita - $31,100 (2011)
•
GDP by sector: Agriculture - (1.7%),
industry (12.4%), services (60.5%)
(2011)
•
•
Unemployment: 5.6% (July 2011)
Main industries: High-tech projects,
including aviation, communications,
computer-aided design and
manufacturing, medical electronics,
fiber optics, and others
Demographics of Israel
according to figures released by the Central Bureau of
Statistics (CBS). 1.2012
A country four times smaller
than Hungary and four times
the size of Budapest can
only claim the following
achievements:
GDP Growth
Israel as compared to Advanced Economies*
(Annual rate of change (%), in constant prices)
6.0%
5.0%
4.0%
3.0%
2.0%
1.0%
0.0%
-1.0%
-2.0%
5.3%
5.2%
5.3%
5.2%
4.8%
4.8%
4.2%
3.2%
3.1%
2.5%
2.6%
2.3%
1.7%
1.7%
1.7%
0.8%
World Growth
Israel Growth
2004 2005 2006 2007 2008 2009 2010 2011
•
Source: Ministry of Finance, Israel , The International Monetary Fund (IMF)
Factors Supporting Growth
• Export (trade) oriented
• Rapid development of technology
and high-tech industries
• Entrepreneurial culture
• Supportive environment for business
• Influenced mainly by the global
economy, rather than the Middle
East
Historical Background
Israel’s Economy 1950-1980
Agriculture and Basic Industries
1. The beginning: Fresh agro
products
2. Agro technology market
leader in:
- Irrigation and Water
Management
- Post harvest
- Seeds
- Chemicals
Historical Background
Israel’s Economy 1980-2010
It’s all about Technology…
• Global R&D and innovation center
• Source of leading technologies used
worldwide (ICQ, Firewall, Disk-on-Key, Pill-Cam,
etc.)
• Home to global market leaders, such as
Amdocs, Checkpoint, M-systems, Comverse
and others
Israel: A High-Tech Oriented Industry
(Manufacturing Exports by Technological Intensity)
(2005 – 46%)
(1995 – 37%)
Source: Central Bureau of Statistics (excluding diamonds) 2011
Israel: Center of High Tech and R&D
- Microsoft built in Israel their first R&D facility outside of the
US.
-Cisco built in Israel their first R&D facility outside of the US.
- Motorola’s facility in Israel is the company’s largest
development center worldwide.
- IBM chose Israel for its first VC investment outside of the
US
- Intel has four R&D facilities and two manufacturing
centers in Israel, employing 7,000 Israeli workers.
- Google opened two R&D centers in Israel
AND MORE…
Israel is 1st in the OECD in expenditure on R&D (research &
development) as % of GDP, demonstrating innovation, development
and creativity.
• The first trade agreement made by the State of Israel was with Hungary,
on January 12th, 1949.
• Hungary was the first country in the CEE to re-establish diplomatic
relations with Israel immediately following the fall of the Socialist regime in
1989
• In 2006 the Israeli and Hungarian Governments signed an Agreement on
Economic Cooperation.
• The volume of Israeli trade with Hungary today is about -376 million USD
• Hungary is Israel’s 37th trading partner
• Hungary is the region’s biggest importer of capital from Israel
• Israeli exports have increased dynamically in the last 15 years. There was
an 850% growth in trade volume during this period.
Signature Date
Description
Subject
11/10/1988
AGREEMENT IN THE FIELD OF TOURISM
JOINT COMMISSION, TOURISM
01/03/1989
AIR TRANSPORT AGREEMENT
AIR SERVICES/TRANSPORT
01/03/1989
MEMORANDUM OF UNDERSTANDING BETWEEN THE MINISTRY OF
TRANSPORT,COMMUNICATION AND CONSTRUCTION OF HUNGARY AND THE
MINISTRY OF COMMUNICATION OF ISRAEL CONCERNING COOPERATION IN THE
FIELD OF COMMUNICATIONS AND POSTS
POST, TELECOMMUNICATIONS,
WORKING GROUP
01/09/1989
AGREEMENT BETWEEN THE GOVERNMENT OF THE STATE OF ISRAEL AND THE
HUNGARIAN PEOPLE'S REPUBLIC ON COOPERATION IN THE FIELD OF ANIMAL
DISEASE
AGREEMENT ON COOPERATION IN THE FIELD OF HEALTH BETWEEN THE STATE
OF ISRAEL AND THE REPUBLIC OF HUNGARY
ANIMALS, DISEASES
AGREEMENT ON COOPERATION IN THE FIELDS OF CULTURE, EDUCATION AND
SCIENCES
CULTURE, EDUCATION, MIXED
COMMISSION, SCIENCE
23/11/1989
07/01/1990
HEALTH
Signature Date
Description
Subject
08/05/1991
EXCHANGE OF LETTERS CONSTITUTING AN AGREEMENT CONCERNING THE
ABOLITION OF VISAS FOR DIPLOMATIC AND SERVICE PASSPORTS
VISA
14/05/1991
AGREEMENT FOR THE PROMOTION AND RECIPROCAL PROTECTION OF
INVESTMENTS
AGREEMENT ON SCIENTIFIC AND TECHNOLOGICAL COOPERATION
INVESTMENT, MFN
14/05/1991
JOINT COMMISSION, SCIENCE,
TECHNICAL COOPERATION
14/05/1991
CONVENTION FOR THE AVOIDANCE OF DOUBLE TAXATION AND FOR THE
PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME
FISCAL EVASION, TAXES
15/03/1994
EXCHANGE OF LETTERS CONSTITUTING AN AGREEMENT CONCERNING THE
ABAOLITION OF VISAS FOR HOLDERS OF VALID NATIONAL PASSPORTS
VISA
06/01/1997
AGREEMENT ON TECHNICAL COOPERATION
TECHNICAL COOPERATION
09/04/1997
09/10/1997
05/02/2006
AGREEMENT ON COOPERATION IN COMBATING ILLICIT TRAFFICKING AND ABUSE OF
DRUGS, ILLICIT TRAVEL, JOINT
NARCOTIC DRUGS AND PSYCHOTROPIC SUBSTANCES AND TERRORISM AND OTHER
COMMISSION, TERRORISM
SERIOUS CRIMES
EXECUTIVE AGREEMENT BETWEEN THE CENTER FOR INTERNATIONAL
TECHNICAL COOPERATION, MASHAV
COOPERATION (MASHAV) OF THE MINISTRY OF FOREIGN AFFAIRS OF THE STATE OF
ISRAEL AND THE MINISTRY OF AGRICULTURE OF THE REPUBLIC OF HUNGARY ON
TECHNICAL COOPERATION
AGREEMENT ON ECONOMIC COOPERATION BETWEEN THE GOVERNMENT OF THE
ECONOMIC CO-OPERATION AND
STATE OF ISRAEL AND THE GOVERNMENT OF THE REPUBLIC OF HUNGARY
DEVELOPMENT
Israeli Inventions in Hungary
AND MANY MORE….
1st in the world for flexibility and adaptability
1st in the world for scientific research
1st in the world for entrepreneurship
1st in the world for information technology skills
1st in the world for expenditure on R&D (as % of GDP)
2nd in the world for innovative capacity
2nd in the world for venture capital
4th in the world in utility patents per million population …
This is what they think of us.
Tourism
Despite the global
economic crisis, Israel had a
record year for Tourism in
2008
3.4 million visitors entered
the country in 2010, four
million expected to visit this
year.
Tourists pumped US $ 4.4
billion into the Israeli
economy last year
compared to US $ 3.3 billion
in 2009.
Literature
Israel has the world’s
second highest output of
new books per citizen.
• 7,128 books published in
2003
• Titles in 38 languages
• 5582 Hebrew Books
published in 2009
Culture
Culture
The Israeli citizen
is the largest
consumer of
theater and
other cultural
performances in
the world on a
ticket-per-citizen
basis.
Israeli Innovators Lead the World
“The United States Patent and Trademark Office
has approved more patents to Israeli inventors
than to any other nation of the G-7 countries –
the seven largest and most influential
economies in the Western world, according to
a study conducted by the Taub Center for
Social Policy Studies.”
Israeli Innovators Lead the World
In 2009-11 more than 280,000 Israelis (over 57.1% of the population)
were enrolled at higher education institutions
250,000
200,000
150,000
Master's Degree (Colleges)
Bachelor's Degree (Colleges)
P.H.D (Universities)
100,000
Master's degree (Universities)
Bachelor's Degree (Universities)
50,000
0
OECD 2011: Israel among world's most highly educated
countries
• Hebrew University Ranked 57th in the World,
Weizmann Institute named "Best Place to
Work in Academia outside the United States"
The Hebrew University of Jerusalem has been
ranked 57th in the 2011 Academic Ranking of
World Universities (ARWU),
Medicine
Israel’s Given Imaging
developed a video camera
so small it fits inside a pill, which
you can swallow.
The camera helps doctors
diagnose cancer and digestive
diseases.
An Israeli pharmaceutical company,
TEVA, is now the world’s largest
Producer of antibiotics, and one of
the world’s top producers of generic
drugs.
Israeli Medical Breakthroughs
• Insightec - Image Guided HIFUS (High Intensity Focused Ultrasound)
• GE Healthcare in Israel manufactured the world’s first miniaturized
portable cardiac ultrasound system
• The Philips- Brilliance CT scanner, developed in Israel takes a
comprehensive picture of a patient in seconds instead of minutes – a
critical difference in the emergency room, where every second counts
• Medinol- pioneered the development of closed cell stent design and
many additional innovations to the field of heart catheterization
Given Imaging - 1st ingestible video camera used to
view the small intestine and diagnose disorders
Medical Treatment
Israeli scientists developed the first
fully computerized, radiation-free
diagnostic scanning device for
breast cancer.
A new acne treatment developed
in Israel, the Clear Light device, produces a
high-intensity, ultraviolet-light-free, narrow
band blue light that causes acne bacteria
to self-destruct without damaging
surrounding skin or tissue.
Medical Treatment
An Israeli company
developed a
computerized system
for ensuring proper
administration of
medications, thus
reducing the risk of
human error in medical
treatment, which kills
7,000 patients in U.S.
hospitals annually.
Israeli Biotechnology Innovations
Can-Fite has developed a platform technology that targets the A3
Adenosine Receptor for treatment of cancer and autoimmune
inflammatory diseases.
Gamida Cell is developing unique stem cells therapeutics, based on
its proprietary stem/progenitor cells expansion technologies.
Rosetta Genomics is a leader in the development of microRNAbased
diagnostics and therapeutics.
Two Israeli companies lead the quest to develop a stem cell therapy for Parkinson’s
disease.
BrainStorm Cell Therapeutics uses autologous bone marrow derived adult stem cells,
while Cell Cure employs human embryonic stem cell technology. Both companies have
had successes in reducing symptoms of Parkinson’s disease in
mice or rat models and are approaching readiness for clinical trials
And Biocancell, BionVax, Compugen, Nasvax …
Environment
More than 85% of solid waste in
Israel is treated in an
environmentally sound manner,
and by 2010 over half the waste
will be recovered or recycled.
According to the Guinness
Book of World Records, Israel
has the highest number of
solar-power water heaters
per capita.
More than 80% of Israeli
households have heaters
that use the sun’s clean
renewable energy
An Israeli company was the
first to develop and install a
large-scale solar power
plant in California’s Mojave
desert.
Environment
Israel Ranked 2nd in the World for Clean-Tech
The Cleantech Group and the World Wildlife Fund (WWF) published The
Global Cleantech Innovation Index 2012. According to the first-of-its-kind
index, Israel is second only to Denmark in providing best conditions for clean
technology start-ups.
Israel was cited for its innovative capacity and received the highest score in
“Evidence of Emerging Cleantech Innovation.” Israel was also cited to be “a
clear winner in this factor, with by far the most Global Cleantech 100
companies per GDP and the second highest concentration of cleantech VC
activity.”
Communications
Israeli companies:
Amdocs
Comverse
Nice Systems
all pioneered voicemail, SMS
and many other telephone
and cellular phone services
High Tech
Israel holds the largest
concentration of High- Tech
industries in the world, in
relation to its population.
Israel has the largest number
of startup companies than
any other country in the
world, except the U.S.
In Israel there are 3,500
startup companies mostly in
the high-tech sector
Instant Messenger
ICQ - The technology for AOL
Instant Messenger was
developed in 1996 by a team
of four young Israelis.
150 million registered users
around the world received
numerous awards and
recognitions:
"Best Internet Program" by
SIAF "Cream of the Crop" by
Tucows "The Top Downloads"
by Softseek
Electronic Chip
Israeli start-up company
TransChip developed the
first high resolution
camera that fits on a
single electronic chip, for
use in cellular phones.
Satellite Technology
Israel is one of only eight
countries in the world capable
of launching their own satellites
into space.
 OFEK1 Satellite was successfully
launched in 1988. Following were
satellites Ofek 2,3,4,5 and 6.
 AMOS3 Satellite was successfully
launched in May 2008 and Amos4
is scheduled to launch in the year
2012.
Amos 3 and Amos 4
Astronomy and Space: Israel as a
Global Leader
In 2009 Israel was ranked second
among the top 20 countries in
space sciences research by the
Thomson Reuters agency.
Cellular Technology
Israeli engineers developed the
world’s first cell phone at
Motorola’s lab in Haifa, the
largest research center in the
world.
 In a country with a
population of 7.2 million:
There are 7 million cellular
users
Humanitarian Relief
In 2010 Just a day following the devastating
earthquake in Haiti, 220 Israelis, comprising
teams of doctors and rescue and relief
workers.
A rescue team was sent to the Haiti UN
headquarters to assist in rescuing survivors.
Patients were treated at the field hospital.
In 2011 Israel was one of the first states to
send a medical team to Japan, along with
18 tons of essential items.
Humanitarian Relief
In response to the earthquake and a
request from Turkish authorities, an
Israeli aid delegation was sent to Turkey
to assist in rehabilitation of survivors and
evacuated disaster sites, as well as
building essential field hospital
structures.
An Israeli humanitarian delegation was
sent to the border of Kenya and
Somalia to assist tens of thousands of
locals displaced by the worst drought
to have hit the Horn of Africa in over 60
years.
Finance
Israel has the third largest
number of companies
trading on Wall Street after
the U.S. and Canada.
More than 120 companies
include: Checkpoint, Audiocodes,
Teva, Gilat , BreezeCOM, DSP
Communications, Aladin and
many more.
Engineering
Israel has more
engineers and scientists
per capita than any
other country.
145 per 10,000, as
opposed to 85 in the U.S.
over 70 in Japan, and less
than 60 in Germany.
Over 25% of its work force
employed in technical
professions.
Natal Care
BabySense, an Israeli
product aimed at
preventing Sudden
Infant Death
Syndrome (SIDS), is
saving babies’ lives
around the world
Checkpoint, an Israeli company, pioneered Internet
and network security technology such as the Firewall.
Checkpoint’s products are being used by 90 percent
of the Fortune 500 companies around the world.
The first PC anti-virus
in the world was developed in 1979 in Israel.
Report, conducted by Columbia University's Earth Institute
Israel leads the world, according to the report, Cyber-security: The Vexed Question of
Global Rules, published in 2012 by the Security & Defense Agenda (SDA) Israel, Finland
and Sweden are more prepared than larger nations to fight a conflict in cyberspace
SDA-McAfee report says Israel
subjected to 1,000 cyber attacks
per minute, which it successfully
tackles; awards it 4.5 stars – higher
score than US.
Scientific Publications
Israel produces more
scientific papers per capita
than any other nation: 109
per 10,000 people.
 Over 80% of all civilian basic
research is conducted within the
framework of Israel's universities.
Architecture
Tel Aviv has the second
largest concentration of
Bauhaus architectural
style buildings, with 3500
buildings indentified by
UNESCO as “world
heritage treasures”
Lifestyle
Tel Aviv is considered to
be one of the most
attractive cities in the
Mediterranean basin.
Tel Aviv is known as the
“white city” and the “city
that never stops”.
Wine
The Israeli wine industry is
considered one of the
most improving industries
in the world, winning
critical acclaim by media
outlets such as “Wine
Spectator”, “Newsweek”
and “Business Week”