Ministry of Economy offers up to 350,000 shekels to businesses: Eligibility criteria

The Ministry of Economy and Industry, through the Small and Medium Business Agency, has launched a new grant track totaling 9 million shekels, designed to encourage businesses to invest in computerization, digitization, automation, and artificial intelligence. As part of the program, the state will participate in 35% of recognized investment expenses, up to a ceiling of 350,000 shekels per business.

The program is intended for businesses in the trade, services, and industry sectors with an annual turnover of up to 100 million shekels. The Ministry of Economy notes that the move is intended to assist businesses in implementing advanced technologies, improving productivity and business efficiency, and strengthening their competitiveness.

Investments eligible for support include the implementation of ERP, CRM, and inventory, procurement, and supply chain management systems, the integration of artificial intelligence tools and advanced technologies, as well as automation and control solutions in production systems.

The Ministry of Economy notes that studies by the ministry and the Central Bureau of Statistics indicate that the level of use of digital tools in businesses in Israel, especially in the trade, non-high-tech services, and traditional industry sectors, is still lower than the desired level. It also emerges that in the hospitality, food, and trade sectors, Israel is below the average of European Union countries in the use of advanced business technologies, while in the field of awareness and development of artificial intelligence-based solutions, it is in a leading position.

In a survey recently conducted by the Small and Medium Business Agency on the subject of using artificial intelligence, it was found that many business owners are interested in implementing AI tools, but are first required to upgrade their computer systems and digital infrastructure in order to derive significant business value from them.

Minister of Economy and Industry Nir Barkat stated:

"Productivity is the growth engine of the Israeli economy, and the way to increase it is through the implementation of innovation in every business and every factory. The technological revolution cannot remain the preserve of high-tech companies alone; it must also reach small and medium-sized businesses, which are the backbone of the Israeli economy. Through the new grant track, we are helping businesses make the digital leap, remove investment barriers, and adopt advanced technologies that will increase efficiency, strengthen competitiveness, and create growth."

Itzik Kasner, Director of the Small and Medium Business Agency, added:

"From research and data, we learn that the trade and services sectors in Israel, which are not in the high-tech field, as well as traditional industry, are not exhausting the existing digital tools in relation to similar businesses in Europe. Implementing digital tools and AI tools can streamline business activity and lead to an increase in business productivity. The program will help raise awareness among businesses and encourage them to implement computer systems while we participate in the risks they see before them."