Israel's Business Relationship With Its Neighbors

Israel has business and diplomatic relations with 161 countries, and has diplomatic missions in ninety-four countries all over the world. Of all Israel's neighbors, only three have good relations with it; Jordan, Mauritania and Egypt. There were two other Arab Business League member countries who had some ties with Israel (Tunisia and Morocco), but the Second Intifada caused those business ties to be cut. Since then, relations with Morocco have warmed, and the Israeli foreign minister has visited.

As a direct result of 2009's Gaza War, Bolivia, Mauritania, Qatar and Venezuela halted business and political ties to Israel. Under the state's laws, Saudi Arabia, Syria, Lebanon, Yemen and Iraq are enemies, and Israelis cannot visit those countries without the Ministry of the Interior's permission. Israel became a member of the Mediterranean Dialogue in 1995, and since then cooperation has increased.

The State of Israel was first officially recognized by the United States of America, and then by the USSR. The US looks at Israel as its biggest ally in the region, basing that opinion on religious and political commonalities and security reasons. Since 1962, the US has provided military and economic aid totaling one hundred billion dollars.

Another nearby country that has business and diplomatic ties with Israel is India. These were established in 1992, and the two countries have enjoyed a good technological, cultural and military partnership since then. India is the largest buyer of Israeli military equipment in the world, and Israel is India's second-biggest military partner after Russia.

Germany also has strong business relations with Israel; they cooperate on educational and scientific projects, and they remain strong military and monetary partners. Under a reparations agreement, Germany has paid over thirty billion euros to the state and to Holocaust survivors. The UK also has full diplomatic and business relations with Israel; those relations were bolstered by former PM Tony Blair's efforts to create a dual-state.

Turkey and Israel did not establish relations until the beginning of the 90s, but Turkey has cooperated with Israel since 1949. However, Turkey also has strong ties with other Muslim nations in the region, which has at times resulted in pressure to cut ties with Israel. In nearby Africa, Israel's strongest ally is Ethiopia, due to religious, political and security reasons. Israel assists Ethiopia on irrigation matters, and there is a large Ethiopian Jewish community in Israel.