According to the Israel Innovation Authority, the sector drove $85 billion in exports, $84 billion in exits, and nearly $15 billion in investment in 2025, even as the country remained at war. The report also flags a decline in R&D workers and more companies shifting operations abroad.
The Israel Innovation Authority's annual figures, drawn from a newly released report covering 2025, illustrate continued resilience in a cornerstone of the Israeli economy. Exits totaled approximately $84 billion and investment reached nearly $15 billion, alongside the export figure. War-related challenges did not halt the sector's overall growth or global investor interest, the report indicates. However, the IIA identified a concerning reduction in the number of R&D workers — employees engaged directly in research and development — and a growing trend in which Israeli companies are relocating parts of their operations overseas, which may erode the domestic innovation base over time. The data update follows The Zioneer's earlier coverage of Israeli economic indicators, including record credit-card spending in May and a $12 billion valuation of Israeli AI oversight professionals.
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- DevelopingIsrael's 2025 budget deficit reaches 4.7%, below target despite 100-billion-shekel revenue gap
- DevelopingIsraeli life sciences investments slump 40% in 2025 to five-year low
- StrongIsrael's state revenues reach 307 billion shekels in first half, deficit drops to 3.3%
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