Israel has ranked second in an annual index presenting the price worldwide of a McDonald’s Big Mac.
Climbing three places on the previous year, Israel is now second only to Switzerland, according to the Economist’s 2026 Big Mac Index.
Established 40 years ago by the British publication, the index compares the relative price worldwide of McDonalds’ flagship hamburger with the aim of simplifying theory of purchasing power parity – the idea that exchange rates should move towards the rate that would equalise the prices of an identical basket of goods and services (in this case, a burger) in any two countries.
Israel’s climb up the league table is largely due to the appreciation of the shekel over the past year.
When the exchange rate stood at 3.8 shekels to the dollar in July 2024, the price of a Big Mac in Israel ranked lower than in most Western countries, according to the Big Mac Index.
The Bank of Israel’s representative rate for July 31 was 3.0570 to the dollar.
Now, a Big Mac in Israel costs $7.67, in the United States $6.22 and in Taiwan $2.42, the index showed.
The McDonald’s Big Mac was chosen by the magazine due to the global presence of the U.S. giant chain, and because the burger remains largely the same in all countries.
Many McDonald’s branches in the Jewish state serve standard Big Macs – which are not kosher because they contain milk and meat, contrary to Jewish dietary laws – but some outlets are kosher-certified, serving them without cheese. These branches also close on Shabbat and serve the meat on kosher-for-Passover buns over Pesach.
Additional reporting by Katie Grant
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