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$9.2 Billion Added to Cover War Costs in 2025 Budget Addition

Israel approves a $9.2 billion budget addition for war costs in 2025 to fund defense spending, including campaigns with Iran and Gaza.

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Jerusalem, 27 August, 2025 (TPS-IL) — The government of Israel approved the additional budget proposal for 2025 intended to finance war expenses and the government will now work to complete the legislation in the Knesset.

The additional budget was required due to the increase in defense spending to finance war expenses, including the campaign with Iran and the war in Gaza.

The additional budget for 2025 will increase government spending by approximately 30.8 billion shekels ($9.2 billion), and involves increasing the deficit ceiling from 4.9% to 5.2% and increasing the spending limit to approximately 650.3 billion Shekels ($195).

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