Sri Lanka, April 12 -- The war with Iran has cost Israel about NIS 35 billion ($11.5 billion) in budgetary expenses, according to an initial estimate by the Finance Ministry.

The Finance Ministry says that the US-Israel war with Iran incurred high economic costs, including a loss of GDP and an increase in state spending, some of which will only become fully clear in the future.

The bulk of the cost comprises an estimated NIS 22 billion in defense and military spending for the IDF, Defense Ministry, National Security Ministry, and other security organizations. This amount has already been added to the Defense Ministry budget as part of the state budget for 2026, the Finance Ministry says.

The total cost of the government's compensation ...