The global economic crisis could not have happened at a better time from Israel’s point of view, says Vered Dar, chief economist at the country’s largest investment house, Psagot Ofek.

Ms Dar, the former deputy director of macroeconomics for Israel’s Ministry of Finance, believes Israeli businesses in the UK can thrive despite the recession. Speaking at a round table discussion hosted by Mishcon de Reya and Bank Leumi, she added: “Israel remained in a good position as conditions deteriorated abroad, with economic growth continuing.

“Although domestic securities prices tracked those abroad downwards, prompting outflows from provident funds, flows in domestic credit markets remained largely undisturbed.”

It is not clear if she was wearing rose-coloured glasses at the time.