Israeli Banking Turmoil Sparks Fear and Delay.
Israeli businesses are concerned about the political turmoil in the country, particularly the controversy surrounding the plan to weaken the Supreme Court. Large Israeli businesses rely heavily on revenue from the US, Europe, and Asia, and the uncertainty in the political situation could impact their operations. Ratings agencies Fitch and Moody's have warned that the controversy could weaken Israel's credit profile. While some businesses worry about the impact on taxation, worker rights, and investor rights, others believe that concerns will be alleviated in six months. The economy has already taken a hit, with the shekel down 10% against the dollar and the Tel Aviv Stock Exchange down 20% this year. The situation also poses risks for Prime Minister Benjamin Netanyahu, whose poll numbers need to be in freefall for things to improve.