"It is not so clear to what extent the Israeli economy will be affected," Ami Rosenberg, head of economic research at Gaon Investment House, told Xinhua.
"Israel's connection to the subprime mortgage crisis is secondary as there was little investment in subprime products, so we are mostly affected indirectly by the crisis in the U.S. housing sector due to the negative impact of the macroeconomic situation internationally," he said.
Some analysts believe that Israel's economy has so far managed to absorb shocks from the raging international credit crunch due to its strong macroeconomic fundamentals and a stable banking system.
