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As foreign investors warn over Israel’s future, ratings firm accused of anti-Israel bias says it’s not worried — for now

(JTA) — As much of the financial world increasingly eyes political developments in Israel with concern, a company that specializes in assessing investments based on social responsibility criteria made a special announcement Wednesday in which it declared Israel “a low-risk country.” 

That designation is both a signal to investors that they are unlikely to get entangled in human rights abuses or other scandals if they put their money in Israel, and a reassurance intended for pro-Israel advocates who have accused the company of bias against Israel. 

The announcement from the multibillion-dollar Chicago-based financial research firm Morningstar is the latest entry in a debate about how companies around the world should regard the Israeli-Palestinian conflict. One side says that Israel should be treated as regular Western democracy and the other says that Israel’s treatment of the Palestinians should put the country in the class of authoritarian regimes. 

But another debate about Israel’s investment worthiness has emerged in recent months following the election of a new Israeli government led by Benjamin Netanyahu, whose slim parliamentary majority relies on the support of parties with far-right platforms. 

Netanyahu, who is on trial for corruption, has vowed to overhaul Israel’s judicial system and rein in the independence of the courts. Many financial analysts consider a weakened judiciary a red flag for investors. 

Sarah Wirth, a spokesperson for Morningstar, said that its analysis designating Israel a low-risk country does not yet account for recent developments in Israel.

“Some of the changes developing in Israel may impact their Country Risk Rating once we incorporate them into our analysis,” Wirth wrote in an email to the Jewish Telegraphic Agency in reference to the judicial reform plan. 

The latest warning about Israel’s place in the global economy emerged Friday with the leak of an internal report written by JPMorgan, one of the largest banks in the world. 

The report compared Israel to Poland, which passed a similar judicial reform in 2016 and saw a downgrade to its credit rating, which was a major blow because national credit ratings can either attract or drive away investments from abroad. 

JPMorgan analysts wrote that Israel’s credit rating still “stands comfortably in the investment grade bucket” but that Netanyahu’s plan could cause it to go down.

The report adds to a warning by another Wall Street giant, Goldman Sachs, which said last week that the Israeli shekel could be affected by “growing concern over domestic political developments.”

“The five most recent elections over the past three-year period have had typically limited read-through to financial markets,” Goldman Sachs economist Tadas Gedminas wrote in a report. “This is not to say that the current situation could not have a more meaningful impact this time around, and we will closely monitor ongoing developments.”

Netanyahu has rejected criticism of his judicial plan by saying that the proposed reforms are being misrepresented by his critics and that they would merely bring Israel’s courts in line with courts in other Western countries. The plan would limit the ability of the Supreme Court to rule laws and government actions as unconstitutional, give the government control over the appointments of new judges and end the independence of the position of legal advisor across various government offices, among other measures. 

Netanyahu has also said that regardless of the warnings by analysts, international investors are excited about Israel and eager to acquire equity in Israeli companies. His latest pronouncement came from France where he said he met with 60 local business leaders. 

“What they’re saying about investors running away is nonsense,” Netanyahu said. “We want to increase our investments in Israel.”

Some of Israel’s own business leaders are concerned enough about the country’s direction that they are choosing to decamp. The CEO of tech company Verbit, which was valued at $2 billion in 2021, announced Tuesday that he would leave the country to avoid paying millions in taxes as a protest of the judicial overhaul plan. 

“Over the past few years, I’ve paid tens of millions of dollars in taxes and my company has paid hundreds of millions in taxes,” Verbit CEO Tom Livne said on Israel’s Channel 12. He encouraged others in Israel’s vaunted tech sector to do the same. 

Livne’s announcement comes about a week after two Israeli tech firms, including one that was valued at $3.7 billion in 2021, said they would withdraw assets from Israel for the same reason. 


The post As foreign investors warn over Israel’s future, ratings firm accused of anti-Israel bias says it’s not worried — for now appeared first on Jewish Telegraphic Agency.

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Metropolitan Police investigating abuse of Jewish attendees at London Pride

(JTA) — London’s Metropolitan Police launched an investigation Monday into antisemitic abuse at a Pride parade after videos and pictures circulated on social media showed Jewish participants enduring taunts at Saturday’s event.

The police department said in a statement that officers were “aware of videos circulating online that show antisemitic verbal abuse directed towards attendees” at the parade in central London and that footage was being reviewed to assess whether criminal offenses had been committed. The department added that it “continues to work hard to tackle hate crimes of all types.”

Videos shared online show people carrying rainbow flags incorporating the Star of David being confronted by individuals shouting “Free Palestine.” The harassment escalated with attendees shouting, “Go back to your Zionist homeland,” “You kill Arab children, you kill gay children,” “F*** you, Jew,” and “How many babies did you kill?”

The Jewish Telegraphic Agency reached out to Pride in London for comment. The group had not replied by press time.

The incident comes amid heightened concern over antisemitism in Britain since Hamas’ Oct. 7, 2023, attack on Israel, with a record number of antisemitic incidents reported over the past two years. It also comes as Pride celebrations around the world have been roiled by tensions over Israel and antisemitism.

Pride in London drew tens of thousands of participants and visitors to the Soho neighborhood in the British capital. Some Jewish LGBTQ+ organizations have in recent years chosen not to participate in Pride, citing hostility towards Zionist Jews. But this year, around 150 people marched as part of a Jewish bloc at the event.

Organizers said the return this year followed discussions with Pride in London over Jewish inclusion and commitments that organizers would undertake antisemitism awareness training in partnership with the Community Security Trust, the main security consultant to the Jewish community. Jewish LGBTQ group Keshet UK stated earlier this year that the measures were intended to help ensure Jewish LGBTQ+ participants could march “safely and openly” following concerns raised after Oct. 7.

It was not clear whether the Jewish marchers who endured the abuse were part of the official Jewish bloc – accounts from marchers who stayed with the Jewish bloc were generally positive.

“A few people came and chanted ‘free, free, Palestine,’” Israeli author and LGBTQ+ activist Hen Mazzig told JTA. “They were passing  through. And there was another person who was at a cafe and then they came by and they were just staring at us.”

Mazzig shared footage from the event on X, writing, ”My pride is not affected by the opinions of others. I am gay, I am Jewish, and I’m here to stay. Am Yisrael chai.”

Mazzig splits his time between London and Tel Aviv, because his husband is British. He told JTA in a phone interview that Saturday’s incidents “were scary, especially when a Pride parade is supposed to be inclusive.”

Mazzig said that since Oct, 7, circumstances have been exceptionally challenging for the British Jewish community “but specifically for LGBTQ youth that are being forced to choose between their Jewish identity and their queer identity.”

Mazzig claimed that Jewish marchers are not accepted unless they specify that they are anti-Zionist. “Every statement of solidarity with LGBTQ Jews seems to come with a ‘but,’” he said. ‘We  support you, but not if you’re physically Jewish, not if you’re supporting Israel. You have to renounce half of your identity first.’ That’s not equality.”

In advance of Saturday’s event, some 650 Met police officers were deployed to enforce “zero tolerance” on hate crimes and to ensure that attendees could “safely and securely” enjoy the parade.

When JTA asked the Metropolitan police why at least two policemen appeared to stand by as Jews were subject to abuse, the Met requested that JTA provide the video in question. After being supplied with the video, the Met later told JTA that it had nothing further to add at this stage but would provide an update if it did.

Mazzig said the Met police should consider the abuse at the parade “shameful and it should alarm everyone.”

He added, “I hope that we stop debating whether or not antisemitism is real and accept it. And that communities that are supposed to be inclusive and pluralistic start taking action.”

The post Metropolitan Police investigating abuse of Jewish attendees at London Pride appeared first on The Forward.

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Israel’s diaspora minister calls Erdogan a ‘grotesque hybrid of Hitler and Sinwar’

(JTA) — Israel’s Diaspora Affairs Minister Amichai Chikli compared Turkish President Recep Tayyip Erdogan to Adolf Hitler and slain Hamas leader Yahya Sinwar in a post on X on Monday.

“We all know how narcissistic power-obsessed fanatics like you begin and how they end. The Jewish people have never feared mere flesh and blood, from Pharaoh until today,” Chikli wrote. “You are nothing but a pathetic blood soaked zero who history will soon forget.”

In the post, Chikli accused the Turkish leader of being a “patron of Hamas and ISIS” and described him as a “grotesque hybrid of Hitler and Sinwar” alongside an AI image of Erdogan in front of a Nazi flag.

Chikli’s post was in response to an address by Erdogan last month, in which the Turkish leader called Zionism a “genocidal occupying expansionist ideology” and said the “struggle” against Zionism was for the “collective survival of ourselves and our nation.”

Long-standing tensions between Turkey and Israel stoked by the war in Gaza have escalated in recent weeks, amid increasing Israeli concerns over the tight ties between Ankara and Washington and the possible sale of advanced American F-35 fighter jets to Turkey. Erdogan, who has consistently voiced support for Hamas, has been one of Israel’s most outspoken international critics.

Chikli’s post followed Israeli Prime Minister Benjamin Netanyahu’s blistering attack against Erdogan during an interview on “Fox & Friends” on Fox News Monday. Netanyahu said Turkey was “governed by a man who calls openly for the annihilation of Israel…and talks openly about conquering Jerusalem.”

The Israeli leader warned against the sale of weaponry to Ankara, portraying Turkey as an aggressive country that didn’t help the U.S. battle Iran. He spoke in advance of U.S. President Donald Trump’s trip to Ankara late Tuesday for a two-day summit of NATO.

“For a regime infected by the Muslim Brotherhood, an extreme movement that hates America and chants ‘death to America’ from that side of the spectrum, I don’t think they should be given F-35’s or the engines for their fighter jets,” Netanyahu told Fox News.

Such a sale would “upset the power balance in the Middle East, which is ultimately guaranteed by Israeli air superiority and … by America’s posture in the Middle East,” Netanyahu said.

Relations between the two regional powers have also been aggravated by the Israeli government’s June 28 decision to recognize the Armenian genocide by the Ottoman Empire during and immediately after World War I.

Turkey has condemned Israel’s recognition of the Armenian genocide. It’s a move so diplomatically controversial that to date, only some 33 countries, aside from Israel, have taken this step, including the U.S. in 2021.

According to Politico, Erdogan said in a public address last week, “We do not give the slightest heed to the slanders about our country from the murder network that has the blood of 73,000 innocent Gazans, most of them children and women, on its hands.”

Israel’s Minister of Foreign Affairs, Gideon Saar, also took aim at Turkey’s foreign minister, Hakan Fidan, during a press conference in Jerusalem Monday, decrying Fidan’s comments to CNN Türk on Friday in which he said that Israel had become a “burden that humanity can no longer bear.”

“The remarks by Turkey’s Foreign Minister are a clear call for genocide,” Saar said. “The Jewish people know all too well what happens when such words are allowed to go unanswered. The first step on the road to genocide is dehumanization.”

The post Israel’s diaspora minister calls Erdogan a ‘grotesque hybrid of Hitler and Sinwar’ appeared first on The Forward.

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A narrowed Michigan Democratic Senate race leaves Jewish voters with a stark choice

(JTA) — When Michigan state senator Mallory McMorrow suspended her campaign for the U.S. Senate on Sunday, some progressive Jews were bereft.

“I’m still in mourning,” Eve Mokotoff, a public health expert who had been advising McMorrow’s campaign on issues including Jewish ones, told the Jewish Telegraphic Agency the next day. “You have to understand, I was sobbing yesterday.”

McMorrow, who is married to a Jewish man and raising a Jewish child, had sought to carve a progressive identity in the state while taking on the far left, particularly on Jewish issues and Israel.

Now with her out of the primary, the race is down to two candidates with polar opposite visions of the Democratic party’s future — particularly on Israel policy — battling over a seat that the party must retain if they hope to flip the Senate in November.

The race will inevitably be seen as a bellwether for the party’s larger orientation on Israel.

The sharp reorientation of the party in the recent years to embracing Israel-critical policies will be exacerbated by the specific dynamics of Michigan. A state home to large Jewish and Arab/Muslim populations weathered the attack at Temple Israel in West Bloomfield, outside Detroit, earlier this year and in 2024 saw the rise of the Uncommitted movement that pressured party leaders over Gaza.

Dr. Abdul El-Sayed, a former county health director who has grassroots momentum in the state, has said the Israeli government is as “evil” as Hamas and made headlines for campaigning with streamer Hasan Piker, an anti-Israel hardliner. His opponent, U.S. Rep. Haley Stevens, has accepted backing from AIPAC, whose affiliated super PAC has spent over $10 million on the race according to Federal Election Commission disclosures, at a time when the pro-Israel behemoth is historically unpopular among Democrats.

Neither campaign’s representatives responded to JTA requests for comment for this story, though both have issued statements reaching out to McMorrow supporters since she left the field. Mokotoff described the new playing field as “a terrible choice.”

“I don’t trust either of them,” she said. “You either have someone whom I completely don’t trust, or someone who can be completely manipulated by the state of Israel.”

For many of the state’s other estimated 129,000 Jews, the choice is less difficult. While analysts are torn on what McMorrow’s exit from the race will mean for each candidate, Jewish Democratic leaders — and some clergy — in the state are coalescing around Stevens.

Michigan Attorney General Dana Nessel, who is Jewish and a close ally of Gov. Gretchen Whitmer, endorsed Stevens following McMorrow’s announcement. “Haley cares deeply about the needs of her constituents,” Nessel wrote in her announcement.

The Michigan Jewish Democratic Caucus had already endorsed Stevens, as well — but it had been close between her and McMorrow, the group’s chair told JTA.

“The Jews that I know, my sense is that if they were supporting Mallory, they’re going to support Haley at this point,” Jessica “Decky” Alexander, the caucus’s chair, told JTA.

While Alexander added that she could “still see myself supporting” El-Sayed if he wins the nomination, some Jewish clergy in the state have sounded loud alarms about his candidacy.

“For many Michigan Jews, the Democratic primary race for senator feels like an existential moment,” Rabbi Aaron Starr, of the historic Conservative Congregation Shaarey Zedek in the Detroit suburb of Southfield, told JTA. “We pray that our neighbors and fellow Michigan residents will vote to reject extremism and the kind of rhetoric that leads to violence.”

Along with his fellow Shaarey Zedek clergy, Starr authored a letter to congregants in June urging them to support “the candidate whose record, actions, and rhetoric demonstrate the strongest commitment to protecting Jewish lives by combating antisemitism, seeking federal security funding for American Jewish communities, and supporting Israel’s security and right to exist as a Jewish state.”

“As a clergy team, we agreed that we cannot remain silent if our voice might encourage people to prioritize protecting Jewish lives,” Starr told JTA.

The letter, which invoked the Book of Esther, did not name Stevens or any other candidates. But to JTA, Starr called Stevens “an ongoing friend of the Jewish community” who “personally reached out to me after October 7,” referring to the 2023 Hamas-led massacres in Israel that launched the Gaza war. El-Sayed — whom Starr said he has “heard nothing from” — has publicly expressed doubt that Israel should be a Jewish state.

Now that the race had narrowed, Starr said, “We are hoping that it is now even more likely that the November election will see two candidates who recognize Israel’s right to exist as a Jewish and democratic state, who support Israel’s right to defend itself when under threat, and who will be committed to protecting American Jews in Michigan and around the U.S.” The likely GOP nominee is Mike Rogers, a former congressman known for his pro-Israel outlook.

While El-Sayed often welcomes the Jewish community at his rallies, his comments on local radical behavior affecting Jews have also caused controversy. He angered Jewish leaders, including a rabbi at Temple Israel, when he issued a statement about the attack at that congregation that mentioned Israel’s war in Lebanon.

In recent weeks El-Sayed also suggested that a group of pro-Palestinian protesters at the University of Michigan, recently arrested by federal authorities and accused of plotting attacks against university officials, were politically targeted.

“It’s a lot more about what you’re advocating for that gets you indicted or not indicted, rather than what you did,” El-Sayed told a rally of supporters about the indictments last month, according to the Detroit News. One of the arrested protesters had briefly worked for El-Sayed’s campaign.

His campaign has amplified the voices of Jewish supporters, including former U.S. Rep. Andy Levin, who lost his reelection bid in a redrawn district to Stevens in 2022 after AIPAC backed Stevens.

El-Sayed’s campaign has also launched a Jews For Abdul affinity group. The group’s mission statement says the candidate “correctly recognizes that the Israeli government does not speak for all Jewish people, or even for all Jewish citizens of Israel,” and “has properly characterized Israel’s US-enabled genocide in Gaza to be among the most immoral events of our time.”

An El-Sayed campaign spokesperson did not respond to a JTA inquiry about how big the group is. Alexander, the state’s Jewish Democratic Caucus chair, said she believed it was “a very small faction.”

Nationally, the Jewish Democratic Council of America, which had endorsed both McMorrow and Stevens, reaffirmed its commitment to Stevens on Monday. Meanwhile, J Street, the liberal pro-Israel lobby, had backed McMorrow. In a statement Monday to JTA, the group did not endorse a new candidate.

“We are grateful to her for the campaign she ran and the nuance she infused into this race,” Tali deGroot, vice president of political and digital strategy, told JTA. “We hope the next Senator from Michigan will be an advocate for peace and diplomacy in the Middle East and will recognize the need for a new U.S. policy toward Israel.”

A new super PAC formed to counter AIPAC’s influence signalled in a statement on Sunday that it was prepared to get more directly involved in the race on El-Sayed’s behalf. American Priorities PAC told reporters it was “fully committed to seeing Abdul El-Sayed become the Democratic nominee for Senate in Michigan, and we will do what it takes to get there.”

Representatives for El-Sayed and American Priorities PAC did not respond to questions from JTA about whether the candidate, who has said he would reject all PAC funding, would accept American Priorities’ financial support.

The post A narrowed Michigan Democratic Senate race leaves Jewish voters with a stark choice appeared first on The Forward.

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