Israel posted a budget deficit of 4.2% of gross domestic product in 2023, after a 0.6% surplus in 2022, due to a spike in state spending to finance the war against Palestinian Islamist group Hamas, the Finance Ministry said on Thursday.

In December, the deficit was 33.8 billion shekels ($9.0 billion), versus 18.5 billion a year earlier.

($1 = 3.7433 shekels) (Reporting by Steven Scheer; Editing by Andrew Cawthorne)