Currency Used In Israel What Travelers Need Know
When planning a trip to Israel, understanding the local currency is just as important as booking flights, hotels, and tours. Whether you’re visiting for sightseeing, an Israel cultural holiday, a luxury honeymoon, or a guided vacation package, knowing how money works in Israel helps you travel confidently and avoid unnecessary costs.
This guide explains the currency used in Israel, payment methods, exchange tips, and practical money advice for travelers.
What Is the Official Currency Used in Israel?
The official currency of Israel is the Israeli New Shekel, abbreviated as ILS and often written as ₪. The New Shekel is used throughout the country for all daily transactions, including hotels, restaurants, transportation, tours, and shopping.
Banknotes come in denominations of 20, 50, 100, and 200 shekels, while coins include 10 agorot up to 10 shekels. Travelers on group tours, Israel private tours, or independent itineraries will use the New Shekel almost everywhere.
Can You Use Foreign Currency in Israel?
Although prices are officially listed in New Shekels, some hotels and tour operators may quote prices in US Dollars or Euros, especially for travel packages and vacation deals. However, daily expenses such as meals, taxis, entrance fees, and local sightseeing are typically paid in shekels.
For smooth Israel travel arrangements, it’s best to carry or withdraw New Shekels rather than relying on foreign currency.
Using Credit Cards and Digital Payments
Credit and debit cards are widely accepted across Israel, particularly in cities, hotels, shopping malls, and tourist areas. Visa and Mastercard are the most commonly accepted cards, making cashless travel easy for many visitors.
That said, small shops, local markets, street vendors, and some rural areas may still prefer cash. Travelers joining organized tours booking services often find major expenses prepaid, reducing the need for large cash amounts.
Where to Exchange Money in Israel
Money can be exchanged at international airports, banks, post offices, and authorized exchange offices. Airport exchange desks are convenient but may offer slightly lower rates. Banks usually provide reliable rates but have limited opening hours.
ATMs are widely available in cities and towns and generally offer competitive exchange rates. Withdrawing shekels directly from ATMs is often the most convenient option for travelers.
Tipping and Everyday Payments in Israel
Tipping is customary in Israel, especially in restaurants, where a 10–15% tip is standard if service is not already included. Tour guides and drivers on private tours or group tours also appreciate tips, particularly for full-day Israel sightseeing itineraries.
Small tips are usually given in cash, so keeping some small-denomination shekels is helpful during your holiday.
Budgeting and Travel Costs in Israel
Israel can be moderately expensive compared to other destinations in the region. Daily costs vary depending on travel style, accommodation category, and dining choices. Travelers who book all-inclusive Israel travel packages or curated itineraries often manage expenses more effectively.
Booking tours, hotels, and transfers in advance helps control costs and secure better travel deals, especially during peak seasons and holidays in Israel.
Currency Tips for Israel Travel
Before departure, inform your bank about your travel dates to avoid card issues. Check foreign transaction fees and ATM withdrawal charges. Carry a mix of cards and cash for flexibility.
If you’re traveling on a honeymoon or Israel luxury vacation, most high-end hotels and restaurants accept cards, but having shekels on hand is still practical for tips and small purchases.
Why Currency Knowledge Matters for Your Israel Trip
Understanding the currency used in Israel allows you to focus on what really matters—exploring historic cities, enjoying Mediterranean cuisine, and experiencing unforgettable sightseeing moments. Whether you’re on a guided group tour, a tailor-made private tour, or a self-planned adventure, being prepared financially ensures a smoother and more enjoyable journey.

FAQs About Currency Used in Israel
- What is the currency used in Israel?
Israel uses the Israeli New Shekel (ILS). It is required for most daily expenses, including transport, dining, shopping, sightseeing, and local travel arrangements. - Can tourists use US Dollars or Euros in Israel?
Some hotels and tour operators accept foreign currencies, but everyday purchases usually require New Shekels. Exchanging or withdrawing shekels is recommended. - Are credit cards widely accepted in Israel?
Yes, credit cards are commonly accepted in hotels, restaurants, and shops. Cash is still useful for markets, tips, and small local purchases. - Is tipping expected in Israel?
Tipping is customary, especially in restaurants and for tour guides and drivers. A 10–15% tip is standard when service charges are not included. - How much cash should I carry in Israel?
Carry small amounts of New Shekels for daily expenses and tips. Major costs are often prepaid through tours booking or vacation packages.
