Jerusalem, 29 December, 2025 (TPS-IL) — The Bank of Israel reported that in the third quarter of 2025, the balance of nonfinancial private sector debt (both business and household) increased by approximately 2.6% to a level of 2.4 trillion Shekels ($750 billion), continuing the increase from previous quarters.
The balance of business sector debt increased by about 2.5% – about 36 billion Shekels ($11.2 billion) – during the third quarter, to about 1.5 trillion Shekels ($470 billion). This was mainly due to net debt raised via bank loans.
Bond issuances by the business sector in Israel totaled about 26 billion Shekels ($8.1 billion) during the third quarter, higher than the quarterly average of the previous four quarters. About 57 % of issuances in the third quarter were by companies in the real estate and construction industry, which continues to lead issuances similar to previous years.
The balance of household debt also continued to increase during the quarter, to about 890 billion Shekels ($279 billion), mainly due to a combination of an increase in the balance of non-housing debt -by about 10 billion Shekels ($3.1billion) or 4.2% – to about 246 billion Shekels ($77 billion), which was due to an increase in the balance of debt to banks and credit card companies, and an increase in the balance of non-housing debt – about 14 billion Shekels ($4.3 billion) or 2.2% – due to new mortgage borrowing from banks.