Israel ranks third globally in AI commercialization as tech funding rises 53%
Israel ranks third globally in AI commercialization and remains among the world’s top 10 countries for AI development, research, and commercial implementation, according to the government’s recently released annual economic report.
The strength of the country’s AI ecosystem is also being reflected in investment activity. Israeli high-tech ventures raised 53% more capital in the first half of 2026 than during the same period in 2025.
The report also highlighted broader positive economic indicators. Israel’s GDP grew 3.2% in the first half of 2026 compared with the second half of 2025, while the TA-125 Index rose 35% over the past Jewish calendar year. The shekel strengthened 11% against the dollar during the same period.
Inflation declined from 2.5% in 2025 to 1.5% in 2026, while the latest budget deficit figure stood at 3.3%, below the government’s 4.9% target. Nominal GDP per capita is also projected to reach approximately USD 70,000.
Read more in The Jerusalem Post.