Israelis spending NIS 4.5b. in Tishrei

Israelis spending NIS 4.

By SHARON WROBEL
The average Israeli household is expected to spend NIS 2,300 during the month Tishrei, similar to the amount spent last year, according to a survey by the Federation of Israeli Chambers of Commerce. Economists at the FICC said average household spending during the period including the High Holy Days and Succot would be NIS 4.5 billion, an increase of 13 percent compared with average spending during a similar non-holiday period. They said total household spending was down by about NIS 500,000 during the same periods in the years 2005-2008. Household spending during the 22-day holiday period from September 18 to October 10 would average NIS 2,300, the same as in the corresponding period last year, the FICC said. The survey, which was conducted by the FICC's Economics and Tax Division, showed that average household spending on food and beverages alone would amount to between NIS 1,000 and NIS 1,500. The survey also showed that total average household spending, excluding food, during the holiday period would amount to NIS2b., out of which 32% would be for fuel and public transportation; 23% for culture and entertainment; 3% on toys and games; 8% on clothing; 24% on foreign travel, including to Sinai; and 10% on domestic recreation and travel. The FICC economists said based on past statistics, the number of employees increases by 1%, or 12,000 people, during Tishrei. Nearly one-third, or 30%, of the job growth is found in peripheral areas, as the public goes on trips and spends time on entertainment activities and restaurant visits. However, the FICC economists estimated that this year only 8,000 jobs were created during the holiday season, an increase of 0.7% in job growth, as result of the impact of the recession. Most of the jobs were in the trade and services, food and hospitality, and transportation industries. A separate survey published by the Histadrut Consumer Association found that 60% of consumers would make their purchases during Tishrei using their credit cards, 7% are using their holiday vouchers for purchases, 22% are making cash purchases, 3% use checks and the rest use a mixture of payment means. "Although credit-card purchases are a convenient method of payment during the holiday period, it increases planned future expenses," said Yaron Levinson, director of the Histadrut Consumer Association. "It is recommended to minimize credit-card purchases as far as possible, to increase the ability of consumers to keep their budget under control."