The Israeli Ministry of Finance has warned that the planned judicial changes in the country could severely damage the economy, according to documents reviewed by Reuters on Tuesday. Finance Minister Bezalel Smotrich denied any negative impact from these changes.
The documents indicated concern among senior officials in the Ministry of Finance, who expressed worries among foreign investors after the Israeli shekel lost much of its value and declined to its lowest price in three years.
A document quoted the ministry's chief economist stating, "The implementation of the proposed judicial reform could cause significant harm to the economy."
The budget management department of the ministry reported in another document "preliminary signs" of growing negative sentiment toward the Israeli economy.
The Ministry of Finance issued a statement confirming that only "risks and opportunities" had been reviewed. Finance Minister Bezalel Smotrich stated that he would lead the economy responsibly regardless of any challenges.