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Times Of Israel
Times Of Israel
25 Mar 2025


NextImg:Moody’s warns Israel’s economy has been weakened by ‘very high political risks’

The Times of Israel is liveblogging Wednesday’s events as they happen.

US says Rubio expressed concerned to Turkey over recent arrests and protests

US Secretary of State Marco Rubio, right, shakes the hand of Turkish Foreign Minister Hakan Fidan, left, at the State Department, March 25, 2025, in Washington. (AP Photo/Rod Lamkey, Jr.)
US Secretary of State Marco Rubio, right, shakes the hand of Turkish Foreign Minister Hakan Fidan, left, at the State Department, March 25, 2025, in Washington. (AP Photo/Rod Lamkey, Jr.)

WASHINGTON — US Secretary of State Marco Rubio expressed concerns regarding recent arrests and protests in Turkey in a meeting with Turkish Foreign Minister Hakan Fidan on Tuesday, a US State Department spokesperson says.

Rubio “also noted recent advancements in bilateral trade and encouraged even greater economic partnership moving forward,” State Department spokesperson Tammy Bruce says in a statement.

US national security adviser takes responsibility for including journalist in Yemen group chat

US National Security Advisor Mike Waltz speaks with the media following meetings with a Ukrainian delegation in Jeddah, Saudi Arabia, March 11, 2025. (Saul Loeb/Pool Photo via AP)
US National Security Advisor Mike Waltz speaks with the media following meetings with a Ukrainian delegation in Jeddah, Saudi Arabia, March 11, 2025. (Saul Loeb/Pool Photo via AP)

WASHINGTON — US National Security Advisor Mike Waltz claims “full responsibility” for mistakenly adding a journalist to a group chat in which top American officials discussed impending strikes in Yemen.

“I take full responsibility. I built the group; my job is to make sure everything’s coordinated,” Waltz tells Fox News host Laura Ingraham in his first interview on the security breach, adding that he does not personally know Jeffrey Goldberg, the journalist who was added to the chat.

Israel loses 4-2 to Norway in World Cup qualifying match

Israeli goalie Daniel Peretz saves an attempt on goal during the 2026 World Cup Group I qualifier soccer match between Israel and Norway, in Debrecen, Hungary, on March 25, 2025. (Attila Kisbenedek/AFP)
Israeli goalie Daniel Peretz saves an attempt on goal during the 2026 World Cup Group I qualifier soccer match between Israel and Norway, in Debrecen, Hungary, on March 25, 2025. (Attila Kisbenedek/AFP)

The Israeli national soccer team falls 4-2 to Norway in its second qualifying match for the 2026 World Cup in North America.

After Norway went up 1-0 in the first half, Israel’s Mohammad Abu Fani scored a goal 10 minutes into the second half to tie the game, but the Norwegian squad then rattled off three goals to go up 4-1. Dor Turgeman scored in penalty time to give the Israeli team its second goal.

The loss to Norway comes after Israel won its first game of the qualifying stage against Estonia. The two other teams in Israel’s qualifying group are Moldova and Italy.

UAE president, Trump discuss ceasefire efforts in phone call

CAIRO, Egypt — United Arab Emirates President Sheikh Mohammed bin Zayed Al Nahyan and US President Donald Trump discuss efforts to reach a ceasefire in Gaza in a phone call, Emirati state news agency WAM reports, as Israel resumed its military offensive in the enclave last week.

Houthi media reports fresh US airstrikes in rebel-controlled Yemen

SANAA, Yemen — Houthi media in Yemen reports new strikes in the Iran-backed rebels’ Saada heartland, blaming the United States for the attacks.

The rebels’ Al-Masirah TV says its correspondent in the area had reported “US aggression with two raids on the Sahar district.”

On March 15, the United States announced a new military offensive against the Houthis, promising to use overwhelming force until the group stopped firing on vessels in the key shipping routes of the Red Sea and Gulf of Aden.

That day saw a wave of US air strikes that officials said killed senior Houthi leaders, and which the rebels’ health ministry said killed 53 people.

Since then, Houthi-held parts of Yemen have witnessed near-daily attacks that the group has blamed on the US, with the rebels announcing the targeting of US military ships and Israel.

Moody’s says Israel’s economy has been weakened by ‘very high political risks’

A sign for credit agency Moody's, on August 13, 2010, in New York. (AP/ Mark Lennihan/ File)
A sign for credit agency Moody's, on August 13, 2010, in New York. (AP/ Mark Lennihan/ File)

Moody’s Investors Service warns of Israel’s “very high political risks that have weakened economic and fiscal strength.”

“Uncertainty over Israel’s longer-term security and economic growth prospects are much higher than is typical, with risks to the high-tech sector particularly relevant, given its important role as a driver of economic growth and significant contributor to the government’s tax take,” Moody’s says in a regular update report on the country’s credit rating. “Such negative developments would have potentially severe implications for the government’s finances and may mark a further erosion in institutional quality.”

The rating agency last year slashed Israel’s credit rating by two notches to Baa1 in light of the high geopolitical and domestic political risks the country is facing and maintained a negative outlook.

In the update, Moody’s says that the negative outlook reflects the rating agency’s view that “downside risks” on Israel’s credit score persist.

As challenges to Israel’s credit profile, the rating agency cites “very high exposure to geopolitical risks, polarized political system, which weighs on governance and policy effectiveness, [and] labor-market participation of religious minorities, resulting in high-income inequality and elevated social tensions.”

Moody’s says Israel’s credit profile “remains supported by historically strong economic resilience to shocks, high wealth levels, which provide some shock absorption capacity, a solid external position, and the government’s continued strong market access.”

“We may stabilize the outlook if there are clear prospects for a durable cooling down of the military conflicts, in turn allowing Israel’s institutions to formulate policies that support the recovery of the economy and public finances and restore security while dealing with a wide range of policy priorities,” Moody’s says.