Bank of Israel Governor Stanley Fischer.
(photo credit: Ariel Jerozolimski)
Business activity continued to expand in the second quarter of the year led by
domestic sales, but orders for the third quarter indicate a modest rate of
growth in the manufacturing, construction and hi-tech industries, according to
the Bank of Israel’s companies’ survey for the second quarter of
“The expansion was reflected in the increase in the net balance of
domestic sales, while the net balance of exports increased only moderately,” the
central bank reported Wednesday. “Most of the increase was in large companies,
while medium and small companies reported a steady level of activity. Companies
expect a modest increase in activity in the third quarter, particularly in
The survey of 638 companies found that activity continued
to increase in the business- services industry, due to a rise in domestic sales,
while exports remained unchanged.
Trading companies reported an increase
in the volume of sales in the second quarter at a slower rate than in the first
Looking ahead to the third quarter, companies forecast a faster
increase in sales and a rise in the number of employees.
a continued rise in activity in the second quarter year on year after a
contraction in 2009. They expect further expansion in the third
Building companies reported stability in construction work in
the second quarter, while other data indicated there was no change in
of building starts, a small increase in the volume of building
completions and a
reduction in the number of employees. The industry’s prices increased
a result of a continued shortage of land. Expectations for the next
for a modest increase.