Credit ratings agency S&P Global has revised Israel’s credit outlook from negative to stable, signaling renewed confidence in the country’s economic stability. The move comes just over a year after S&P downgraded Israel’s sovereign credit rating for the second time since the onset of the war, and nearly two years after first assigning a negative outlook.
Israel’s Accountant General, Yehali Rotenberg, welcomed the decision, noting that it marks the first time in more than two years that Israel’s outlook has returned to a stable status. “S&P changed the outlook to ‘stable’ and maintained Israel’s international credit rating at A,” Rotenberg said.
He added that the revision reflects both Israel’s economic resilience and recent geopolitical developments that have reduced short-term risks. “This is an important update that underscores confidence in Israel’s fiscal stability, monetary flexibility, and the structural strength of its economy-even amid ongoing geopolitical challenges,” Rotenberg stated.
According to Rotenberg, capital markets have already responded to these improvements, as seen in the recent decline of Israel’s risk premium.