Finance Minister Yuval Steinitz briefed the cabinet, Sunday, on the economy as is related to the budget for the first seven months of 2011. He noted that tax revenues were down against forecasts during the period.
Referring to the fragile international economic situation, including the debt crises in the United States and Europe, as well as the financial crisis of a couple of years ago, Dr. Steinitz said, "We're walking on a tightrope (literally a very narrow bridge). If we deviate significantly from our economic policy, we could fall off the bridge very quickly. We must continue on the basis of the principles that allowed us to get out of [the last financial crisis] quickly." He noted the Treasury's directing exports away from the U.S. and Europe to the emerging markets of China, India and South America, which has resulted in increased exports.