By Palestine Chronicle Staff 
“The conflict in Gaza could last well into 2025 and there are risks of it broadening to other fronts.”
Credit ratings agency Fitch downgraded Israel’s credit rating to “A” from “A+” due to the ongoing war in Gaza, citing heightened geopolitical risks and military operations on multiple fronts.
The agency projects a negative outlook as the conflict in Gaza may extend into 2025 and potentially escalate to other areas, impacting Israel’s credit metrics significantly.
Fitch highlights the expected rise in military spending and budget deficit, along with the continued high tension between Israel, Iran, and allies as contributing factors to the downgrade.
The brutal offensive on Gaza has resulted in mass casualties, displacement, and economic devastation, with ongoing challenges and humanitarian crises affecting the region.
Despite international condemnation and calls for ceasefire, the conflict persists, leading to a grim outlook for the affected population in Gaza and the broader Middle East.
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