$35 Billion in 12 Days: What Did Iran Do to Israel’s Economy?

Saednews: While the Zionist regime seeks to portray a sense of normalcy following its recent conflict with Iran, economic data, on-the-ground reports, and independent analyses reveal a different picture: Israel’s economy has suffered blows in less than two weeks whose magnitude surpasses that of conventional wars.

Damage to Critical Infrastructure

During Iran’s attacks on the occupied territories, at least 33 key military and economic sites of the Zionist regime were targeted.
According to security estimates, over 300 million liters of aviation fuel stored in Israeli oil facilities were destroyed.
This alone, along with other damaged energy infrastructure, accounts for over $3 billion in direct losses in the fuel and energy sectors.
Destruction of power infrastructure in the north and south also caused rolling blackouts affecting over 3 million people, with repairs projected to cost billions of shekels.

Military Expenditure: Over $15 Billion in Direct Costs

Leaked military data from Hebrew sources and independent financial analyses show:

• The daily cost of war for the Zionist regime—including missile defense launches, fighter jet sorties, multi-layered defense deployments, and logistics—was estimated at $700–800 million per day.

• Each interceptor missile fired from defense systems costs $3–4 million, totaling over $6 billion in 12 days.

• The total military expenditure during this period is estimated at $15–18 billion.

Energy Outages and Halt in Gas Exports

The Leviathan gas field, which produces over 12 billion cubic meters of gas annually, was completely shut down for about 10 days due to Iranian missile threats. As Israel’s main gas export source to Egypt and Jordan, the shutdown resulted in:

• $10–12 million in daily foreign exchange losses for Israel.

• Disruptions in gas transmission lowered internal network pressure, severely affecting electricity generation in Tel Aviv, Haifa, and Ashkelon.

• The Haifa oil refinery also temporarily shut down after being struck by multiple missiles, halting fuel imports for several days.

Transport, Insurance, and Soaring Costs

A major consequence of the war was a sharp rise in air and sea transport insurance premiums for Israel.
According to Reuters and maritime sources:

• Freight insurance rates for ships headed to Haifa, Ashdod, and Eilat more than tripled, reaching 0.7–1% of ship value, an unprecedented level.

• Major insurers like Lloyd’s temporarily suspended war coverage for Israeli ships and aircraft.

• To avoid a crisis, the Israeli government issued $8 billion in insurance guarantees for its airlines to prevent flight suspensions.

Capital Flight and Credit Crisis

As the attacks intensified and Israel’s vulnerabilities became evident, financial markets were jolted:

• According to the Central Bank of Israel, around $6 billion in foreign capital exited Israeli financial markets over 12 days.

• International pension funds such as BlackRock and Canada’s Teachers’ Pension Plan reduced their holdings in Israeli firms.

• Credit rating agencies like Fitch and Moody’s revised Israel’s credit outlook to “negative with possible downgrade.”

• Bond markets saw a sharp rise in interest rates, making domestic financing more expensive for the Israeli government.

Collapse of the Labor Sector

The war caused the departure of over 110,000 foreign workers from Israel’s labor market.
This labor shortage, especially in agriculture, construction, transportation, and healthcare, imposed multi-billion dollar secondary costs on the government.
Industry reports indicate absenteeism rates exceeded 50% in northern and southern regions, leading to a sharp decline in domestic production.

Damage to Technology and Defense Industry

Advanced weapons factories in Haifa and Ashkelon, including drone and precision missile production lines, were damaged or temporarily shut down.
Major tech startups like SolarEdge, Wix, and Infinidat have relocated parts of their operations abroad or postponed new projects.
According to Israeli IT sources, direct and indirect losses to the high-tech and advanced industries are estimated at $2–3 billion.

Has Israel’s Economy Withstood the Blow?

Analytical estimates suggest the Zionist regime suffered total losses of $30–35 billion—both direct and indirect—during the 12-day war with Iran. This amount equals approximately 8% of Israel’s annual GDP.
These losses include:

• $15–18 billion in military and defense costs

• Over $4 billion in infrastructure damage

• Over $120 million in lost gas exports

• $6–7 billion in capital flight and credit risk

• $3–4 billion from labor market and production disruptions

• Over $2 billion in damage to the tech sector

While the Zionist regime tries to portray a façade of stability, beneath the surface, Israel's economy is grappling with one of the biggest financial and infrastructural shocks in decades.
Though the burden is being partially covered by U.S. dollars, the question remains: For how long and to what extent will Washington bear Israel’s economic losses?

This report is based on data and information from various outlets including The Wall Street Journal, Times of Israel, Calcalist, Bloomberg, Financial Times, Reuters, Al Mayadeen, and compiled from strategic centers such as STRATFOR, Brik Institute, the Central Bank of Israel, and Israel’s Ministry of Finance.