Israel To Boost Military Budget By $12.5 Billion Through 2026

Israel will raise its defense budget by 42 billion shekels ($12.5 billion) in 2025 and 2026 amid intensified regional threats, including wars in Gaza, Lebanon, Syria, and tensions with Iran.

July 17, 2025Clash Report

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According to officials, the expanded defense budget is designed to sustain long-term operations across several theaters. Israel’s military is currently engaged in intensive campaigns in Gaza against Hamas fighters, with heavy casualties and urban destruction reported. Simultaneously, it is facing daily exchanges of fire with Hezbollah along the Lebanese border and has conducted strikes deep inside Syria, including on sensitive targets near the presidential palace and defense ministry in Damascus.

Additionally, Israeli forces have targeted Houthi positions in Yemen following a series of long-range missile and drone attacks launched by the group. Defense analysts note that these overlapping fronts have placed unprecedented strain on Israel’s military logistics, pushing the government to accelerate arms purchases and force readiness programs.

The joint ministry statement did not detail which weapons systems or defense platforms would be acquired with the new budget but emphasized that the funding would enable the military to respond to “ongoing and evolving” threats in the region.

This increase comes amid broader concerns about Israel’s fiscal capacity to sustain a multi-front conflict, with critics warning of a long-term economic burden. However, military officials insist that the defense buildup is essential to maintaining strategic superiority and deterring adversaries from escalating further.

Israel To Boost Military Budget By $12.5 Billion Through 2026