Client
Ministry of Finance & Ministry of Transport
Year
2021
Work Type
Cost-Benefit Analysis
Project Value
$40B
Transport Mode
Metro
Status
Completed — cited by OECD
Research of the Wider Economic Impacts of the TLV Metro Project
The Tel Aviv Metropolitan metro is the largest infrastructure investment in the country's history. NSA Hub conducted the formal cost-benefit analysis for the Ministry of Finance and Ministry of Transport — going beyond standard appraisal to quantify agglomeration economies, labor productivity gains, land-value effects, and accessibility equity across socioeconomic groups. The research, carried out together with senior academics from the Technion, Tel Aviv University, and the Aaron Institute for Economic Policy at Reichman University, followed both national and EU/OECD evaluation guidelines. The central finding: a benefit-cost ratio of 3.4:1, with total economic benefits of approximately $115 billion over the project lifetime — roughly $7 billion per year — against a $40-billion investment. The metro is projected to save 160–230 million passenger-hours annually and reduce vehicle-hours on the metropolitan road network by approximately 23%. The research was instrumental in securing government legislation for the project, and was subsequently cited in the OECD's economic survey of the country.


