Israel's Alarming Poverty Rate in OECD Context
A recent report from the Israeli National Insurance Institute, highlighted by Calcalist, reveals that Israel ranks second among OECD countries in terms of poverty rate, with 20.7% of its population living below the poverty line in 2023. This translates to approximately 1.98 million individuals, including 872,400 children. Although there was a slight decrease from 20.8% in 2022, Israel's poverty rate remains significantly higher than the OECD average of 11.6%, indicating persistent challenges in social welfare policies.
Disparities Among Population Groups
The report underscores stark disparities in poverty rates among different demographic groups in Israel. The poverty rate among Arab families is reported at 38.4%, while Haredi families face a rate of 33%. In contrast, non-Haredi Jewish families have a poverty rate of 14%. Notably, 51% of the poor in Israel are non-Haredi Jews, challenging the common perception that poverty is predominantly an issue for Arab and Haredi populations. Alarmingly, the child poverty rate stands at 27.9%, raising concerns about the long-term social and economic implications for the youth.
Impact of Recent Conflicts and Need for Policy Reform
The report also highlights the adverse effects of recent conflicts on families, particularly those reliant on freelance income. The poverty rate among these families increased from 13.3% in 2022 to 13.8% in 2023, revealing the inadequacy of government support during crises. Tzvika Cohen, acting director general of the Foundation, emphasized the urgent need for comprehensive support policies for vulnerable groups, stating that the economic repercussions of the war will persist for years. Additionally, requests for assistance surged by 23% in 2024, indicating a worsening economic situation for many families. The Deputy Director General for Research at the National Insurance Institute, Netzah Kasir, called for sustainable policies that align with OECD standards to effectively address these challenges.
