Israeli economists and business leaders warn of sanctions damage

A group of 109 economists, business leaders, high-tech entrepreneurs and former senior public officials issued a statement expressing concern over Prime Minister Benjamin Netanyahu's conduct. They warned that Israel's economy could suffer irreversible damage if international sanctions were imposed.

The letter followed an interview in which Netanyahu said he was not concerned about sanctions and disclosed that he had requested a plan to circumvent banking sanctions using cryptocurrencies and blockchain technology. He also said U.S. military aid would eventually end.

The economists warned that restrictions on Israel's banking system would drive unemployment sharply higher, eliminate foreign investment and paralyze the high-tech sector, which they described as the economy's primary growth engine.

The Bank of Israel said over the weekend that cryptocurrencies could not serve as a way to circumvent sanctions on Israel.

The central bank urged Israel to preserve economic relations with its main trading partners and concentrate on preventing sanctions.