Israeli Central Bank Governor Warns of Economic Impact as Likud MKs Push for Permanent Ban on Palestinian Workers

The ban on nearly all Palestinian workers entering Israel following a terror attack has caused a supply shock to the Israeli economy, particularly in the construction and agriculture sectors, with potential impacts on prices. The ban has also hurt the economy of the West Bank and led to pressure on lawmakers to allow some workers to return. The Finance Ministry warned of significant economic damage, and the central bank governor emphasized the need to monitor price developments and prevent financial instability in the face of potential expansion of the war.