The Zionist project is facing an unprecedented crisis: its own people are leaving. Since the Al-Aqsa Storm operation, the phenomenon of “reverse migration” has accelerated, forcing the Israeli regime to resort to financial bribes to stem the tide.

A Regime in Demographic Panic
According to the Zionist newspaper Yediot Aharonot, more than 145,900 people fled the occupied territories between 2020 and 2024—outstripping the number of new immigrants. This exodus, composed largely of former immigrants, reveals a profound disillusionment with the Zionist state.

In response, Finance Minister Bezalel Smotrich has proposed an extreme measure: a five-year tax exemption for Jews who immigrate to Israel. This desperate move—unprecedented in Israeli history—shows how deeply the leadership fears the collapse of its demographic foundation.

The Al-Aqsa Storm Effect
The October 7 operation shattered the myth of Israeli invincibility. As rockets rained down and resistance fighters breached the Gaza barrier, thousands of Zionists rushed to Ben Gurion Airport, booking one-way tickets out of their “homeland.” The sense of security that underpinned the colonial project evaporated overnight.

Smotrich’s tax plan is a direct admission that the Zionist state can no longer rely on ideology alone to attract and retain settlers. When fear outweighs faith, the only tool left is money.

The Economic Consequences of Desperation
Israeli economic experts have warned that Smotrich’s plan will further strain the regime’s finances. With tax revenues already stretched by perpetual war and settlement expansion, exempting new immigrants could blow a hole in the budget.

But the Israeli cabinet seems willing to pay the price. For them, maintaining a Jewish majority in occupied Palestine is an existential priority—even if it means bankrupting the state.

A Failing Colonial Project
The Zionist flight is not new, but it has now reached critical mass. When a state must bribe its people to stay, it admits that its foundational narrative has failed. The “land of milk and honey” has become the land of anxiety and exit permits.

This exodus is the ultimate indictment of Zionism: those who were promised a safe homeland are now escaping it.

Conclusion: The Unraveling
Smotrich’s tax exemptions are a temporary fix for a terminal condition. No financial incentive can erase the reality of resistance, the burden of international isolation, or the moral rot of occupation. The Zionists are voting with their feet—and their verdict is clear.

Israel’s International Isolation Is Painful. But It Is Also Necessary – Opinion – Haaretz.com