Israel Unveils Plan To Reduce Cost of Living

Israel on Wednesday announced a 4.4-billion-shekel ($1.4 billion) plan to lower the cost of living in the country. The plan includes a variety of measures, such as tax cuts for working families; grants to low-wage workers; child-care subsidies; increases in subsidies on basic goods; and reduction of tariffs to lower the cost of food, other consumer goods, and construction materials. These measures are, according to a statement by the Finance Ministry, designed to boost disposable income and stimulate employment among the middle class, young families, and low-wage workers. Finance Minister Avigdor Liberman, Prime Minister Naftali Bennett, and Economy and Industry Minister Orna Barbivai unveiled the plan at a televised press conference, during which Liberman said the plan would save the average Israeli family around 10,500 shekels ($3,300) per year. According to the Numbeo.com website, the estimated monthly cost of living in Israel for a family of four, not including rent, is about $3,866; the average monthly salary is $3,710. The cost of living in Israel is about 121% of the cost in the United States, while median household income is only about 52% of median household income in the US.