The Israeli Finance Ministry on Monday estimated the initial cost of the ongoing Gaza war at around 191 billion shekels ($51 billion).
Speaking during a session of the Knesset Finance Committee, ministry officials said the figure may rise due to developments on the ground.
Earlier estimates put the cost of the Gaza war at nearly 163 billion shekels ($44 billion).
Finance Ministry officials also told the Knesset committee that tax revenues were falling even before the outbreak of the Gaza war in October.
Officials also estimate that Israel’s fiscal deficit will reach 3.7% in the 2023 budget, up from earlier estimates of 1.1%.
Israel’s Central Bureau of Statistics earlier estimated that around 750,000 Israelis were absent from the workforce due to the Gaza conflict, a figure that represents nearly 18% of the country’s workforce.
Israel resumed its military offensive on the Gaza Strip on Friday after the end of a week-long humanitarian pause with the Palestinian group Hamas.
At least 15,899 Palestinians have been killed and more than 42,000 others injured in relentless air and ground attacks on the enclave since Oct. 7 following a cross-border attack by Hamas.
The Israeli death toll in the Hamas attack stood at 1,200, according to official figures.