What is the future of Israel’s oil exports? – Israel Business Week
Posted by Apostle Mark Zuckerberg (Facebook)On Friday, the Israeli Cabinet announced a plan to raise the amount of money that Israel can borrow from the International Monetary Fund (IMF) to $2.5 billion, an increase from the $1.3 billion that it had originally requested.
This comes amid an unprecedented surge in the oil price.
The IMF has been the source of $2 billion in support for Israel’s economy in the past five years.
The fund also lent the country $1 billion in the third quarter of 2018 and has provided $8 billion in loans to Israel since January 2018.
Israel is expected to receive $1,100 billion of its IMF loan by 2020.
Israel’s foreign minister said earlier this month that Israel’s current foreign debt to the IMF stands at $1 trillion, an estimate that has since been challenged by the Israeli public.
The country is also dependent on the IMF’s loan program, which allows Israel to borrow at interest rates of up to 20 percent.
Israel’s new plan, announced on the same day that a major oil-rich country in the Middle East announced it was reducing its dependence on foreign banks and moving its sovereign wealth fund (SFF) from foreign bonds to private debt, was welcomed by the finance ministry.
It was welcomed with much enthusiasm by the financial community.
“Israel’s economy is a multi-billion dollar asset and we need to invest in its future.
We are in the process of changing this course, as we have seen many times before,” Finance Minister Naftali Bennett said in a statement.
The decision to switch to private capital was announced by Finance Minister Yair Lapid.
“We are committed to diversifying our investments to secure our future and to ensure that our future prosperity is sustainable,” Lapid said.
“We are also convinced that the best path for Israel is private finance.”
The announcement of the new funding plan follows the collapse of a $7.5 million deal for a joint venture between Israeli gas producer and Israel-Egyptian conglomerate Al Mezzeh to develop an Israeli oil refinery.
As the IMF prepares to lift its loan from Israel, the country’s largest financial institution has been making moves to shift its focus away from foreign debt and toward private equity.
In April, the SFF sold a stake in Israel’s largest oil producer, Israel Gas, to a consortium led by billionaire Haim Saban, who is close to President Donald Trump.
Saban is the son of the late Israeli billionaire Shimon Peres.
On Thursday, Israel’s state-owned bank, the Bank of Israel, also announced that it was selling a minority stake in its sovereign assets fund to a group of investors led by American hedge fund billionaire Robert Mercer.
The group includes several investors from Silicon Valley and Europe.
The announcement comes amid reports that Israeli energy firm Avio Energy is considering the purchase of Avio Oil and gas fields in the occupied West Bank, as well as other properties in the region.
It’s unclear what impact the sale of Avios will have on Israel’s domestic economy, as Israel is one of the largest oil producers in the world, but its decision to sell its oil reserves has caused some economic concerns.
“I think that Israel has to make a decision.
It can’t be the same old Israel, it has to be different,” Israeli Finance Minister Yuval Steinitz told Israeli Channel 10 television on Thursday.
“The new investments will be more profitable, but it will have an impact on the domestic economy.
They have to change it.
They can’t just have a few private equity firms investing and selling off assets.
The economy has to change.”
Last month, Israel signed a deal with the United Arab Emirates (UAE) to build a new natural gas terminal in the Golan Heights, which the UAE claims as its own territory.
The new facility will be the first Israeli gas pipeline to reach the Syrian border.