Israeli defense, high-tech firms see sharp rise in funding amid conflict: report-Xinhua

Israeli defense, high-tech firms see sharp rise in funding amid conflict: report

Source: Xinhua

Editor: huaxia

2026-07-22 00:40:15

JERUSALEM, July 21 (Xinhua) -- Funding for Israeli hi-tech defense, space, and quantum companies surged amid the prolonged regional conflict, reaching a historic peak of 11.6 percent of total capital raised in the first half of 2026, the Israeli IVC Research Center said in a statement on Tuesday.

For comparison, the share of investments in this sector stood at just 1.9 percent of total raised funds in 2021, and 3 percent in 2024, according to a report titled "Israel Tech Review," written by IVC and LeumiTech, a subsidiary of Israel's Bank Leumi.

Israeli hi-tech companies in all sectors raised a total of 7.63 billion U.S. dollars from January to June, marking the highest half-year funding total in four years.

Funding for traditional sectors such as life sciences and fintech declined to near-record lows, according to the report. Climate-focused sectors also struggled, with energy and cleantech attracting only 1.4 percent of total capital raised.

Total investment in the second quarter reached 4.23 billion dollars, the highest quarterly amount in four years, the report shows. Despite that, the number of funding deals remained low, indicating that more money is now concentrated into fewer, more mature companies.