The Intel Corporation announced plans to invest $6 billion to upgrade its Kiryat Gat facilities. The government has offered the chip maker a $700 million investment grant for Intel's proposal, but it could end up being as high as $1 billion. Intel did not divulge the details of its upgrade plans, but its proposal was one of the most expensive foreign corporate investments in Israel in recent years. The company decided to upgrade its Kiryat Gat facilities instead of a $10 billion proposal to build an entire new complex. The company announced that it was ready to submit the investment proposal for the facilities upgrade to the government. Intel Israel General Manager Maxine Fassberg, who will light the national ceremonial torches on Independence Day, responded to the news on Wednesday. "For the last 40 years the scope of Intel's exports amounted to $35 billion. Most of it came from Intel's production facilities in Kiryat Gat and Jerusalem. Intel must continue to count consecutive and quality achievements from its operations in Kiryat Gat," she said. Prime Minister Benjamin Netanyahu welcomed Intel's announcement. "This investment proposal is the result of a process we've been working on for several years already. Israel is a global technology hub. I am calling on other international companies to boost their investment in Israel. To those who have yet to exploited the benefits of the Israeli market, come and invest here," he said. Finance Minister Yair Lapid also expressed approval of the Intel proposal. "This marks a vote of confidence in the Israeli economy," he said. "Such investments will make thousands of new jobs in their first round, and tens of thousands of jobs in its second." Economy and Trade Minister Naftali Bennett said, "This is the best gift we could have gotten on the 66th Independence Day. This is important news for the periphery, employment, education and Israel's precedence facing the world." Kiryat Gat Mayor Aviram Dahari praised Intel. Since it set up shop in Israel, Intel has been the largest private employer in the country.
Huge investment grant to Intel, big bonus for Israel
International chip maker announces it will upgrade Kiryat Gat facilities to the tune of $6 billion • The company is expected to invest $6 billion in exchange for $1 billion government investment grant • PM calls on other companies to invest in Israel.
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