Israel Introduction - 2021

GEOGRAPHICAL NAMES 

Background

The State of Israel was declared in 1948, after Britain withdrew from its mandate of Palestine. The UN proposed partitioning the area into Arab and Jewish states, and Arab armies that rejected the UN plan were defeated. Israel was admitted as a member of the UN in 1949 and saw rapid population growth, primarily due to migration from Europe and the Middle East, over the following years. Israel fought wars against its Arab neighbors in 1967 and 1973, followed by peace treaties with Egypt in 1979 and Jordan in 1994. Israel took control of the West Bank and Gaza Strip in the 1967 war, and subsequently administered those territories through military authorities. Israel and Palestinian officials signed a number of interim agreements in the 1990s that created an interim period of Palestinian self-rule in the West Bank and Gaza. Israel withdrew from Gaza in 2005. While the most recent formal efforts to negotiate final status issues occurred in 2013-2014, the US continues its efforts to advance peace. Immigration to Israel continues, with 28,600 new immigrants, mostly Jewish, in 2016. The Israeli economy has undergone a dramatic transformation in the last 25 years, led by cutting-edge, high-tech sectors. Offshore gas discoveries in the Mediterranean, most notably in the Tamar and Leviathan gas fields, place Israel at the center of a potential regional natural gas market. However, longer-term structural issues such as low labor force participation among minority populations, low workforce productivity, high costs for housing and consumer staples, and a lack of competition, remain a concern for many Israelis and an important consideration for Israeli politicians. Prime Minister Benjamin NETANYAHU has led the Israeli Government since 2009; he formed a center-right coalition following the 2015 elections. Three Knesset elections held in April and September 2019 and March 2020 all failed to form a new government. The political stalemate was finally resolved in April 2020 when NETANYAHU and Blue and White party leader Benny GANTZ signed an agreement to form a coalition government. Under the terms of the agreement, NETANYAHU would remain as prime minister until October 2021 when GANTZ would succeed him. Israel signed normalization agreements – brokered by the US – with Bahrain, the United Arab Emirates, and Morocco in late 2020 and with Sudan in early 2021.

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Definitions and Notes

NOTE: The information regarding Israel on this page is re-published from the 2021 World Fact Book of the United States Central Intelligence Agency and other sources. No claims are made regarding the accuracy of Israel 2021 information contained here. All suggestions for corrections of any errors about Israel 2021 should be addressed to the CIA or the source cited on each page.