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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.
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Mamdani Remains Silent on Pro-Hamas Synagogue Protest, Other NYC Lawmakers Issue Condemnations
New York City Mayor Zohran Mamdani delivers a speech during his inauguration ceremony in New York City, US, Jan. 1, 2026. Photo: REUTERS/Kylie Cooper
Newly inaugurated New York City Mayor Zohran Mamdani has remained silent regarding an anti-Israel protest outside a Queens synagogue on Thursday evening that featured chants supporting Hamas and prompted nearby Jewish institutions to shut down out of safety concerns.
The demonstration took place outside Young Israel of Kew Gardens Hills, where an event promoting Israeli real estate investments was scheduled. Dozens of protesters chanted slogans including “Globalize the intifada” and “Say it loud, say it clear, we support Hamas here,” according to video footage shared online. Hamas is designated a terrorist organization by the United States and the architect behind the Oct. 7 massacres in Israel which killed roughly 1200 and resulted in the abduction of 250 others.
The protest also unfolded near the Yeshiva of Central Queens, leading synagogue leaders to cancel evening prayer services and local schools to dismiss students early. While the New York Police Department maintained a buffer zone and no major violence was reported, residents described the atmosphere as tense and intimidating.
A chorus of condemnation has come from city and state lawmakers since the protest.
State Assemblyman Sam Berger, whose district includes the synagogue, said the mayor’s failure to speak out was “deeply concerning,” arguing that city leadership has a responsibility to draw clear lines when protests target houses of worship.
“This wasn’t an abstract political rally,” Berger said. “It was outside a synagogue, in a residential Jewish neighborhood, with chants that glorify violence. The mayor should be unequivocal.”
Governor Kathy Hochul, by contrast, swiftly condemned the protest, calling the chants “disgusting” and emphasizing that support for Hamas has no place in New York.
“No matter your political beliefs, this type of rhetoric is disgusting, it’s dangerous, and it has no place in New York,” Hochul wrote.
NYC Council Speaker Julie Menin wrote that “openly and proudly sympathizing with Hamas, especially while standing in the largely Jewish community of Kew Gardens Hills, stokes fear and division.”
Mark Levine, NYC Comptroller, repudiated the demonstrations, saying they “cannot be normalized or excused.”
Rep. Ritchie Torres, a Bronx Democrat, also denounced the demonstration, saying rhetoric that praises terrorist organizations amounts to hate, not legitimate political speech.
Meanwhile, as criticism mounted from state and federal officials, Mamdani, who took office just days earlier, did not issue a direct statement condemning the protest or the rhetoric used by demonstrators.
The protest was organized by groups affiliated with the Palestinian Assembly for Liberation (PAL-Awda) NY/NJ, which has previously promoted demonstrations targeting Israel-related events. Organizers framed the rally as opposition to Israeli land sales, but Jewish leaders say the location and language crossed a line.
The episode echoes earlier controversies surrounding Mamdani, who has faced criticism in the past for what opponents describe as equivocation when anti-Israel protests occur near Jewish religious spaces. In a previous incident outside an Upper East Side synagogue, Mamdani criticized language used by the protesters while simultaneously condemning the synagogue for hosting real estate events.
The protest comes amid an alarming surge in antisemitic hate crimes across New York City.
Jews were targeted in the majority (54 percent) of all hate crimes perpetrated in New York City in 2024, according to data issued by the New York City Police Department (NYPD). A new report released on Wednesday by the New York City Mayor’s Office to Combat Antisemitism, which was established in May, noted that figure rose to a staggering 62 percent in the first quarter of this year, despite Jewish New Yorkers comprising just 11 percent of the city’s population.
After securing the election, Mamdani has repeatedly stressed a commitment to forcefully combatting antisemitism while in office. However, a recent report released by the Anti-Defamation League (ADL) revealed that at least 20 percent of Mamdani’s transition and administrative appointees have either a “documented history of making anti-Israel statements” or ties to radical anti-Zionist organizations that “openly promote terror and harass Jewish people.”
Mamdani, a far-left democratic socialist and avowed anti-Zionist, is an avid supporter of boycotting all Israeli-tied entities who has made anti-Israel activism a cornerstone of his political career and been widely accused of promoting antisemitic rhetoric. He has repeatedly accused Israel of “apartheid” and “genocide”; refused to recognize the country’s right to exist as a Jewish state; and refused to explicitly condemn the phrase “globalize the intifada,” which has been associated with calls for violence against Jews and Israelis worldwide.
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Argentine Jews Renew Calls for Justice 11 Years After AMIA Bombing Prosecutor Nisman’s Death
People hold images of the victims of the 1994 bombing attack on the Argentine Israeli Mutual Association (AMIA) community center, marking the 30th anniversary of the attack, in Buenos Aires, Argentina, July 18, 2024. Photo: REUTERS/Irina Dambrauskas
After more than a decade without justice, Argentine Jews are renewing calls for action on the 11th anniversary of the death of the prosecutor who investigated the 1994 bombing of the Argentine Israelite Mutual Association (AMIA) Jewish community center in Buenos Aires.
“Eleven years after the assassination of prosecutor Alberto Nisman, we reaffirm our steadfast demand for justice,” the Delegation of Argentine Israelite Associations (DAIA), the country’s Jewish umbrella organization, wrote in a post on X.
A 11 años del asesinato del fiscal Alberto Nisman, renovamos nuestro pedido inclaudicable de Justicia. pic.twitter.com/UyHUmirEGX
— DAIA (@DAIAArgentina) January 9, 2026
Next week, Argentina will commemorate the death of Nisman, who died on Jan. 18, 2015, while investigating the 1994 AMIA bombing — the deadliest terrorist attack in Argentine history, which killed 85 people and wounded more than 300.
Last year, prosecutors handling the case released a report as part of the ongoing, still unresolved trial, confirming that Nisman was killed for trying to expose the Argentine government’s role in covering up the 1994 AMIA bombing.
“The federal prosecutor Natalio Alberto Nisman was the victim of a homicide,” the 56-page report said. “His death was motivated by his work in the AMIA Special Investigation Unit and, specifically, by his actions related to the Memorandum of Understanding with the Islamic Republic of Iran.”
In 2006, Nisman formally charged Iran for orchestrating the attack and its Lebanese terrorist proxy Hezbollah for carrying it out. Nine years later, he accused former Argentine President Cristina Fernández de Kirchner of attempting to cover up the crime and block efforts to extradite the suspects behind the AMIA atrocity in return for Iranian oil.
The alleged cover-up was reportedly formalized through the memorandum of understanding signed in 2013 between Kirchner’s government and Iranian authorities, with the stated goal of cooperating to investigate the AMIA bombing.
One day before Nisman was set to appear before the Argentine Congress to present evidence supporting his allegations against Kirchner and several of her colleagues, he was found dead in his apartment, with a gunshot wound to the head and a pistol at his side.
An official investigation into his death initially concluded that the prosecutor took his own life. However, a federal judge later reversed this decision, stating that Nisman’s gunshot wound could not have been self-inflicted.
Investigations are still underway to identify both those who carried out the act and those who ordered it.
Kirchner is set to stand trial for the allegations against her, though there is no set date.
As for the AMIA investigation, an Argentine federal judge ordered last year the trial in absentia of Iranian and Lebanese nationals suspected of orchestrating the 1994 bombing.
The 10 suspects set to stand trial include former Iranian and Lebanese ministers and diplomats, all of whom are subject to international arrest warrants issued by Argentina for their alleged roles in the terrorist attack.
Lead prosecutor Sebastián Basso — who took over the case after the murder of his predecessor, Nisman — also requested that federal Judge Daniel Rafecas issue national and international arrest warrants for Iran’s Supreme Leader Ayatollah Ali Khamenei over his alleged involvement in the attack.
This legal action marks a significant departure from Argentina’s previous stance in the case, under which the Iranian leader was regarded as having diplomatic immunity.
Since 2006, Argentine authorities have sought the arrest of eight Iranians — including former president Ali Akbar Hashemi Rafsanjani, who died in 2017 — yet more than three decades after the deadly bombing, all suspects remain still at large.
Despite Argentina’s longstanding belief that Lebanon’s Shiite Hezbollah terrorist group carried out the devastating attack at Iran’s request, the 1994 bombing has never been claimed or officially solved.
In 2024, Argentina’s second-highest court ruled that the attack was “organized, planned, financed, and executed under the direction of the authorities of the Islamic State of Iran, within the framework of Islamic Jihad.” The court also said that the bombing was carried out by Hezbollah terrorists responding to “a political and strategic design” by Iranian authorities.
The court additionally ruled that Iran had been responsible for the 1992 truck bombing of the Israeli embassy in Buenos Aires, which killed 29 people.
However, Tehran has consistently denied any involvement in any of these attacks and has refused to arrest or extradite any suspects.
To this day, the decades-long investigation into the terrorist attack has been plagued by allegations of witness tampering, evidence manipulation, cover-ups, and annulled trials.
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Israel to Maintain Troops in Syria, Defense Chief Says, as US-Backed Talks Resume
An Israeli tank crosses the ceasefire line between Syria and the Israeli Golan Heights, Dec. 11, 2024. Photo: REUTERS/Avi Ohayon
Israeli Defense Minister Israel Katz has warned that Israel’s military forces will remain in Syria even as US-backed negotiations between the two countries move forward, saying the deployment of troops is essential to prevent the Syrian border from becoming a launchpad for infiltration or invasion against the Jewish state.
“Israel’s security policy in Syria … is based on the country’s new defense concept following the events of Oct. 7,” the Israeli defense chief said in a statement Friday, referring to the Hamas-led invasion of and massacre across southern Israel in 2023.
“Under this approach, the Israel Defense Forces [IDF] will actively prevent jihadist organizations and forces from reaching the Israeli border and settlements,” Katz continued.
Following the fall of long-time Syrian President Bashar al-Assad in December 2024, Israel deployed troops into a buffer zone along the Syrian border to establish a military position aimed at preventing terrorists from launching attacks against the Jewish state.
Since then, the IDF has taken control of the northern part of Mount Hermon and established a security zone in the Golan Heights to protect Israeli communities in the region and in the Galilee from potential terrorist attacks.
“Israel is also committed to protecting the Druze community in Syria and will not allow them to be harmed. We maintain a true fraternal bond with our Druze brothers in Israel, and this policy will apply across all conflict borders and remain in effect,” Katz said in his statement.
Earlier this week, Israeli and Syrian officials revived US-mediated talks, resuming months-long stalled negotiations as Damascus once again calls for the withdrawal of Israeli troops from Syrian territory.
The previously demilitarized zone in the Golan Heights was established under the 1974 Disengagement of Forces Agreement between Damascus and Jerusalem that ended the Yom Kippur War. However, Israel considered the agreement void after the collapse of Assad’s regime.
According to Syria’s state news agency SANA, the high-level talks focused on reviving the 1974 agreement, with Syrian officials seeking an Israeli withdrawal to pre-Assad positions and the establishment of a security framework to safeguard the country’s sovereignty and bar any interference in its internal affairs
The Syrian government has repeatedly accused Israel of fueling instability with its ongoing strikes, which Israeli officials say are intended as a warning to the country’s new leadership in response to threats against the Druze — an Arab minority whose faith is rooted in Islam and with communities in Syria, Lebanon, and Israel.
Jerusalem has pledged to defend the Druze community in Syria with military force if they come under threat.
For years, Israel has also conducted strikes in Syria as part of a covert campaign to undermine Iran and its proxies, which expanded their influence after intervening in the country’s civil war in support of Assad.
Since the fall of Assad’s regime in 2024, Israel has ramped up its military operations in southern Syria, with officials asserting that the strikes are aimed at targeting Islamist militant groups.
The Israeli government has previously said it would only agree to a new deal if it safeguarded the country’s security interests, including the demilitarization of parts of southwestern Syria and protections for minority communities.
Last year, Ahmed al-Sharaa became Syria’s official president after leading the rebel campaign that ousted Assad — whose Iran-backed rule had strained ties with the Arab world during the nearly 14-year Syrian war — in an offensive spearheaded by al-Sharaa’s Islamist group, Hayat Tahrir al-Sham (HTS), a former al-Qaeda affiliate.
Although al-Sharaa has repeatedly pledged to unify Syria’s armed forces and restore stability after years of civil war, the new leadership continues to face major hurdles in convincing the international community of its commitment to peace.
Incidents of sectarian violence — including the mass killing of pro-Assad Alawites — have deepened fears among minority groups about the rise of Islamist factions and drawn condemnation from global powers currently engaged in discussions on sanctions relief and humanitarian aid.
The US has moved to lift an array of sanctions previously imposed on Syria under Assad.
Meanwhile, European Commission President Ursula von der Leyen said on Friday that the European Union will grant Syria around 620 million euros ($722 million) this year and next for post-war recovery, bilateral support, and humanitarian aid.
Many experts have urged caution in approaching Syria given the new government’s extensive ties to jihadist groups, including al Qaeda.
