Israel Faces $12 Billion Monthly Cost as War with Iran Drains Economy

According to a detailed report by the Wall Street Journal, the ongoing war between Israel and Iran is turning into a massive financial burden for Tel Aviv. The Israeli government is reportedly spending hundreds of millions of dollars daily, with missile defense alone costing $200 million each day. Every single missile interception costs around $4 million, putting serious pressure on the country’s defense budget.

In addition to the missile system, Israel’s F-35 fighter jets, a key part of its air strategy, are adding to the costs. These jets burn $10,000 every hour, and due to frequent missile threats, they are in near-constant use.

Experts warn that if the current pace continues, Israel could face up to $12 billion in costs in just one month. These expenses include military operations, rebuilding destroyed infrastructure, sheltering displaced civilians, and other war-related spending. Analysts say the economic pressure is reshaping the national conversation and could force the government to rethink its budget entirely.

The conflict has also caused massive infrastructure damage, with hundreds of buildings destroyed by missile attacks. The estimated cost for reconstruction has already reached $400 million, not including business and transport losses. More than 5,000 civilians are now homeless, relying on emergency housing and shelters, further draining public resources.

Economists are questioning whether Israel can afford a long war. While its military strength is known globally, the financial side of this conflict is becoming increasingly unsustainable. Experts warn that continued high spending may trigger a recession or force the government to cut social programs to balance the budget.

Internationally, the war is also causing economic ripple effects. Oil prices have jumped due to fear of instability, and global investors are becoming more cautious about the Middle East. If the conflict spreads, nearby countries may also suffer from collateral economic damage.

The Israel-Iran war is not only a test of military strength but also of financial endurance. The coming weeks will reveal whether Israel can maintain this level of spending or will be forced to change course.