Israel Raises Defense Spending $12.5B Amid Gaza Offensive

Israel will increase its defense spending by 42 billion shekels ($12.5 billion) for 2025 and 2026 to address escalating security challenges across multiple fronts, including ongoing conflicts in Gaza, Lebanon, and Syria. This budget boost, approved by the finance and defense ministries, will enable the Defense Ministry to expedite urgent procurement deals for weapons and ammunition to replenish depleted stocks and support current military operations. Finance Minister Bezalel Smotrich emphasized that the funds will cover intense fighting in Gaza as well as preparations against threats from the south, north, and more distant arenas. The additional resources will also facilitate the development of advanced military systems to maintain Israel's qualitative edge, including accelerating production of Arrow missile interceptors to enhance missile defense capabilities. Defense Minister Israel Katz highlighted the necessity of the budget increase to prepare for multiple scenarios, given that adversaries openly declare their intent to destroy Israel. This significant defense budget surge reflects Israel's commitment to strengthening its military readiness amid ongoing regional tensions and hostilities.