GDP per Capita · Data & Comparison
Israel GDP per Capita
What does Israel's GDP per capita reveal about its economy in 2024?
In 2024, Israel's GDP per capita stood at USD 54,235 (nominal), while its PPP-adjusted GDP per capita was USD 55,681. These headline figures place Israel among the higher-income economies, but the small gap between the two measures (USD 1,446, or 2.7% of the nominal value) reflects a relatively modest price-level difference versus the United States. Over the past four decades, nominal GDP per capita has risen from USD 6,469 in 1980 to the current level, a more than eightfold increase. The 2020s alone have seen a 21.6% rise from USD 44,585 in 2020, despite a contraction of 1.9% in 2020 and a slowdown to 0.9% growth in 2024. This page examines the long-run series, the drivers behind Israel's income per person, and how the country compares with peers, using verified data on GDP, GNI and growth.
What is GDP per capita (nominal)?
GDP per capita is a country's GDP divided by its midyear population. It is the most common shorthand for average income or output per person.
How it is measured. Nominal GDP in current US dollars divided by midyear population. Because it uses market exchange rates, it ignores price-level differences between countries and says nothing about how income is distributed.
How to read it. Use it to compare average economic output per person. A high value can reflect high productivity or a small population with large resource or financial income, and it is not the same as median household income.
Source: World Bank WDI. See our methodology.
Current GDP per Capita: Nominal vs PPP
Latest nominal and PPP readings
Israel's GDP per capita reached USD 54,235 in 2024 on a nominal basis, according to the latest data point. The purchasing power parity (PPP) measure for the same year stands at USD 55,681. The nominal figure is therefore about 2.7 per cent below the PPP figure, a gap of roughly USD 1,446. Both series are expressed in current international dollars for the PPP variant and current US dollars for the nominal variant, so the comparison isolates price-level effects rather than real output differences.
The 2024 nominal value is the highest in the series provided, exceeding the 2020 starting point of USD 44,585 by 21.6 per cent across the five years. The PPP series rose 35.9 per cent over the same period, from USD 40,964 in 2020 to USD 55,681 in 2024. The faster PPP growth reflects both real income gains and relative price movements between Israel and the United States, the reference economy for PPP conversion.
What the nominal-PPP gap implies
A PPP figure above the nominal figure indicates that Israel's price level is higher than the US benchmark, since PPP income adjusts for what a unit of currency buys domestically. The 2024 gap of about USD 1,446, or 2.7 per cent, is modest by advanced-economy standards. For comparison, the 2020 gap was USD 3,621 in favour of nominal income (USD 44,585 nominal against USD 40,964 PPP), meaning the relationship reversed within four years. This reversal points to a rising domestic price level relative to the US.
Both measures place Israel in the high-income group. At USD 54,235 nominal and USD 55,681 PPP, Israel sits above the levels of several euro-area economies and well above the OECD median. The closeness of the two figures implies that the nominal ranking is not materially distorted by price-level differences, so cross-country comparisons using either measure yield broadly consistent conclusions about Israel's income position.
Related income aggregates
GNI per capita for 2024 is USD 52,910, about USD 1,325 below the nominal GDP per capita figure. The gap reflects net factor income flows, including returns on foreign investment and labour income from abroad. Over the 2020s to date, GNI per capita grew 22.0 per cent from USD 43,370 in 2020, closely tracking the 21.6 per cent nominal GDP per capita growth over the same span. The near-identical growth rates suggest factor income flows have been broadly neutral for Israel's aggregate income trajectory.
Total GDP for 2024 is USD 541.3 billion, up 31.8 per cent from USD 410.8 billion in 2020. Real GDP growth in 2024 was 0.91 per cent, a sharp deceleration from the 9.36 per cent peak recorded within the 2020s window. The combination of weak real growth and a high per capita level implies that recent per capita gains have been driven substantially by price and exchange-rate effects rather than volume expansion alone.
Longer-run context
The 2024 nominal figure of USD 54,235 is 4.7 times the 1980 value of USD 6,469. Decade growth rates have decelerated from 78.2 per cent in the 1980s to 21.6 per cent in the 2020s to date, consistent with convergence toward the productivity frontier. The 2010s delivered 40.6 per cent growth, from USD 31,425 to USD 44,179, a stronger expansion than the partial 2020s figure. The PPP series shows a similar pattern, with 71.4 per cent growth in the 1980s against 35.9 per cent in the 2020s.
Latest GDP per Capita and Related Measures (2024)
| Measure | Value (USD) | Year |
|---|---|---|
| GDP per capita (nominal) | 54,235 | 2024 |
| GDP per capita (PPP) | 55,681 | 2024 |
| GNI per capita (nominal) | 52,910 | 2024 |
| GDP (nominal, billions) | 541.3 | 2024 |
The Long Arc: GDP per Capita by Decade Since 1980
From 1980 to 1989: High Growth off a Low Base
GDP per capita opened the period at USD 6,468.87 in 1980 and closed 1989 at USD 11,530.29. The decade growth rate of 78.2 per cent was the fastest of any decade in the series, though it started from the lowest base. The mean for the decade was USD 8,321.96, and the maximum of USD 11,651.54 was reached before the final year. High nominal growth in the 1980s partly reflected a substantial inflation episode, which peaked in the middle of the decade before stabilisation measures took hold.
1990 to 1999: Immigration and the Transition Decade
The 1990s began at USD 13,205.51 and ended at USD 19,828.33, a gain of 50.2 per cent. The decade mean of USD 17,405.59 sat well above the 1980s maximum, confirming a step change in the level rather than a continuation of the earlier trend. The early 1990s absorbed a large wave of immigration from the former Soviet Union, which raised the denominator of the per capita calculation even as output expanded. GDP growth averaged 5.67 per cent across the decade, the strongest mean of any decade shown.
2000 to 2009: Slower Growth and a Mid-Decade Dip
Growth decelerated sharply. GDP per capita rose from USD 21,703.68 in 2000 to USD 28,495.72 in 2009, a gain of 31.3 per cent, the weakest full-decade rate in the series. The decade minimum of USD 19,072.53 fell below the opening value, reflecting the contraction around the global financial crisis. Mean GDP growth of 3.55 per cent masked a range from minus 0.14 per cent to 8.59 per cent. The 2000s therefore mark the clearest turning point in the pace of per capita expansion.
2010 to 2019: Recovery and a Higher Plateau
The 2010s restored momentum. The level moved from USD 31,424.74 to USD 44,178.55, a 40.6 per cent increase, with the minimum and maximum coinciding with the first and last years. The decade mean of USD 37,595.71 exceeded the 2000s maximum by more than USD 7,300. GDP growth averaged 4.01 per cent with a narrow range of 2.24 to 5.54 per cent, indicating steadier expansion than the preceding decade. By 2019 the per capita level was roughly 3.8 times its 1980 value.
2020 to 2024: A Short, Sharp Shock and Rapid Recovery
The 2020s opened with a contraction: GDP fell 1.91 per cent in 2020, the only negative annual reading in the brief. GDP per capita nonetheless rose from USD 44,585.04 in 2020 to USD 54,235.44 in 2024, a gain of 21.6 per cent over four years. The maximum of USD 54,966.74 and the mean of USD 51,627.65 both sit above every prior decade. GDP growth rebounded to a peak of 9.36 per cent before easing to 0.91 per cent in 2024, leaving the level near its series high.
GDP per Capita at Decade Boundaries (Nominal USD)
| Decade | First Year Value | Last Year Value | Growth (%) |
|---|---|---|---|
| 1980s | 6,469 | 11,530 | 78.2 |
| 1990s | 13,206 | 19,828 | 50.2 |
| 2000s | 21,704 | 28,496 | 31.3 |
| 2010s | 31,425 | 44,179 | 40.6 |
| 2020s | 44,585 | 54,235 | 21.6 |
What Drives Israel's Income per Person?
Export Composition and the High-Tech Sector
Israel's income per person reached USD 54,235 in 2024, up from USD 44,585 in 2020, a 21.6% increase across five years. The traded sector is concentrated in technology, software and electronics, and this composition supports high value added per worker relative to the economy's size. GDP itself rose from USD 410.8 billion in 2020 to USD 541.3 billion in 2024, a 31.8% expansion. The gap between GDP growth and population growth explains why per capita gains, while positive, ran below headline output growth over the same window.
Productivity Gaps and Sectoral Dispersion
Aggregate productivity masks wide dispersion. The technology cluster records output per worker well above the OECD median, while tradable services outside it and parts of manufacturing lag. Gross national income per capita stood at USD 52,910 in 2024 against GDP per capita of USD 54,235, a difference of USD 1,325 that reflects net factor income flows. Purchasing power parity GDP per capita was USD 55,681 in 2024, above the nominal figure, indicating that domestic price levels remain high relative to trading partners. Persistent price dispersion of this kind erodes real income gains from nominal growth.
Labour-Force Participation
Participation rates shape per capita output independently of productivity. Overall participation has risen over the past two decades, but the distribution is uneven: participation among Arab Israeli women and among Haredi men remains materially below the national average. Closing these gaps would raise aggregate hours worked without any change in output per hour. The 2010s delivered per capita growth of 40.6%, from USD 31,425 to USD 44,179, a period in which employment expansion contributed alongside productivity. The 2000s were weaker at 31.3%, from USD 21,704 to USD 28,496, with the 2008 to 2009 slowdown visible in the decade minimum of USD 19,073.
Defence Spending and Fiscal Structure
Defence expenditure has historically absorbed a large share of central government spending, and elevated security outlays divert resources from civilian capital formation. The 2020s recorded a decade minimum of USD 44,585 in 2020, when GDP contracted by 1.91%, followed by a rebound to 9.36% growth at the peak of the recovery. The 2024 growth rate of 0.91% indicates a sharp deceleration. Fiscal deficits widen during conflict periods, and the resulting borrowing requirements interact with monetary conditions to influence investment and the exchange rate.
Monetary Conditions and Price Stability
Real per capita income depends on nominal growth net of inflation and demographic change. The 1980s illustrate the extreme case: nominal GDP per capita rose 78.2%, from USD 6,469 to USD 11,530, yet much of that gain was absorbed by inflation during the stabilisation period. The 1990s added 50.2%, from USD 13,206 to USD 19,828, as disinflation and liberalisation took hold. More recently, the 2020s mean of USD 51,628 sits close to the 2024 value, suggesting limited further upside from price effects alone.
How Israel Compares and What the Figure Does Not Capture
Israel's GDP per Capita Against Peer Economies
Israel's GDP per capita reached USD 54,235 in 2024, up from USD 44,585 in 2020, a rise of 21.6 per cent across the five recorded years. In purchasing power parity terms the figure is USD 55,681, marginally above the nominal measure. This places Israel in a band shared with several advanced European economies rather than with the middle-income group it occupied in 1980, when GDP per capita stood at USD 6,469. The 1980s delivered 78.2 per cent growth over the decade, the strongest of the five periods recorded.
The 2000s were the weakest decade, with growth of 31.3 per cent from USD 21,704 in 2000 to USD 28,496 in 2009. The 2010s recovered to 40.6 per cent, ending at USD 44,179 in 2019. Across the full series, the gap between the 1980s mean of USD 8,322 and the 2020s mean of USD 51,628 illustrates how far the level has shifted. Peer comparison on this trajectory places Israel among the faster-converging high-income economies of the past four decades.
GNI per Capita and the Gap to GDP
Gross national income per capita was USD 52,910 in 2024, against GDP per capita of USD 54,235. The difference of roughly USD 1,325, or 2.4 per cent, reflects net income flows from abroad. GNI growth across the 2020s was 22.0 per cent, close to the 21.6 per cent recorded for GDP per capita. The 1980s show a similar pattern, with GNI growth of 80.0 per cent against 78.2 per cent for GDP per capita. The two measures have moved in step for most of the series, which limits the scope for factor-income effects to alter the headline picture.
The 2020s GNI series peaked at USD 55,450 and averaged USD 51,138 across the five years. The 2010s closed at USD 44,280, a rise of 43.7 per cent from USD 30,820 in 2010. These figures indicate that national income, not only domestic output, has expanded at a comparable pace.
What the Headline Figure Does Not Capture
GDP per capita is an average. It does not record how income is distributed across households, nor does it adjust for price levels, regional variation or the composition of output. A per capita figure of USD 54,235 in 2024 can coexist with wide dispersion in disposable income, and the aggregate says nothing about the share accruing to the top decile. The PPP measure of USD 55,681 offers a cross-country comparison but still carries no distributional information.
Growth volatility is also hidden. Annual GDP growth ranged from a 2020 contraction of 1.91 per cent to a 2020s peak of 9.36 per cent, and the 2000s included a negative year at minus 0.14 per cent. A single per capita value for 2024 sits on top of that variation. The 2024 growth rate of 0.91 per cent is well below the 2020s mean of 3.32 per cent, indicating that the latest per capita level rests on a weak marginal year.
Reading the Series in Context
- Nominal GDP per capita rose from USD 6,469 in 1980 to USD 54,235 in 2024.
- PPP GDP per capita reached USD 55,681 in 2024.
- GNI per capita of USD 52,910 sits 2.4 per cent below GDP per capita.
- Decade growth fell from 78.2 per cent in the 1980s to 31.3 per cent in the 2000s, then recovered to 40.6 per cent in the 2010s.
These points frame the figure as a level indicator rather than a welfare measure. Comparisons with peers should therefore be read alongside GNI and growth data, not in isolation.
GNI per Capita at Decade Boundaries (Nominal USD)
| Decade | First Year Value | Last Year Value | Growth (%) |
|---|---|---|---|
| 1980s | 6,450 | 11,610 | 80.0 |
| 1990s | 12,880 | 19,530 | 51.6 |
| 2000s | 20,380 | 28,490 | 39.8 |
| 2010s | 30,820 | 44,280 | 43.7 |
| 2020s | 43,370 | 52,910 | 22.0 |
Frequently asked questions
What is Israel's GDP per capita in current US dollars?
Israel's GDP per capita was about $55,540 in 2023, measured in current US dollars, according to World Bank data. That placed it above the OECD average and close to levels recorded in Germany and New Zealand for the same year. Nominal GDP reached roughly $509 billion in 2023, a slight decline from $525 billion in 2022 as the shekel weakened against the dollar. The current-dollar figure moves with exchange rates as well as output, so year-to-year changes can reflect currency effects rather than real income shifts. For comparisons over time, constant-price series are the more reliable reference.
What is Israel's GDP per capita adjusted for purchasing power parity?
On a purchasing power parity basis, Israel's GDP per capita was about $47,700 in 2023, using constant 2021 international dollars. That is roughly 10 per cent below the OECD average of around $53,000 and well above the world average of about $17,000. The PPP measure strips out price-level differences, which matters for Israel because its consumer prices are among the highest in the OECD. The gap between the nominal figure of about $55,540 and the PPP figure of about $47,700 reflects the strength of the shekel and Israel's relatively high domestic cost level.
How has Israel's GDP per capita grown over the past two decades?
Israel's GDP per capita in constant prices rose from about $28,000 in 2003 to roughly $42,000 in 2023, an increase of close to 50 per cent over twenty years. Growth was fastest between 2003 and 2011, when annual real GDP per capita expansion averaged above 2 per cent, supported by the technology sector and rising labour force participation. The 2020 pandemic caused a contraction of about 2.5 per cent, followed by a rebound of more than 7 per cent in 2021. Since 2022, growth has slowed to below 1 per cent per year, with the 2023 war adding fiscal and labour-supply pressures.
Which sectors drive Israel's GDP per capita?
Israel's high GDP per capita rests on a narrow set of high-value sectors. Information and communication technologies accounted for roughly 18 per cent of GDP and about half of total services exports in 2023, with the tech industry employing around 10 per cent of the workforce. Manufacturing, dominated by electronics, chemicals and pharmaceuticals, contributed about 12 per cent of GDP. The economy is unusually dependent on exports of services, which reached about $75 billion in 2023 against goods exports of roughly $65 billion. This concentration supports high average income but exposes output per head to swings in global technology demand and to the availability of skilled labour.
How does Israel's GDP per capita compare with other OECD countries?
Israel ranked around 14th among 38 OECD members on nominal GDP per capita in 2023, at about $55,540, ahead of Japan at roughly $33,800 and Italy at about $38,300, but behind the United States at around $81,700 and Switzerland at about $99,000. On the PPP measure, at roughly $47,700, Israel sits slightly below the OECD median of about $50,000. The difference between the two rankings reflects Israel's high price level, which reduces real purchasing power relative to the nominal dollar figure. Israel also records one of the widest gaps between average and median income in the OECD.
What explains the gap between Israel's GDP per capita and its household income?
Israel's GDP per capita of about $55,540 in 2023 exceeds median household disposable income, which was roughly $34,000 per capita on a PPP basis in the same year. Defence spending accounts for around 5 per cent of GDP, higher than in most OECD members, and absorbs resources that do not flow directly to households. The economy also has a high dependency ratio: about 12 per cent of the population is Haredi, a group with low male labour force participation, and the overall employment rate of roughly 61 per cent trails the OECD average. These factors mean average output overstates the income of a typical resident.