The Israeli shekel has surged to its strongest levels in decades, buoyed by foreign investment, military successes, and optimism for economic recovery. This strength has brought benefits for consumers and travelers, making imports and overseas trips more affordable, and helping to lower inflation. However, the robust currency is creating significant challenges for Israeli manufacturers and exporters, who now face reduced competitiveness abroad and shrinking profit margins, especially in the wake of new tariffs on exports to the United States. While foreign investors continue to pour money into Israeli tech and financial sectors, local businesses warn of job losses and the potential relocation of operations if the shekel remains strong and government support is not forthcoming. The appreciation trend is expected to persist unless disrupted by major geopolitical or market shifts.