The Israeli economy is struggling to cope with poor leadership and slowing growth.

Whether or not the picture of gloom is exaggerated, there is much for an outside investor to look for inside the Holy Land. As one treasury official put it, the economy still clocked up a 2.5% improvement in the last quarter of 2012, despite fighting a war in Gaza.

On the ground, there have been some very encouraging stories. For example, at the Mobile World Congress in Barcelona this month, Israel has the fourth largest representation. Significantly, four companies are up for awards, including “Waze” in the main category for best overall application. In recent weeks, the company has been linked with buy out talks to Facebook and to other giants, although the rumours appear more forceful than the facts at this stage.

The spotlight this week is on “Wix”, which was founded in 2006, offering a free do-it-yourself website builder. Reports imply that it is seeking to raise US$75 million on Wall Street for a valuation of at least US$350 million. Very cool for a former start up.

The strategy may seem like a wild dream to some. However, Wix would only be following in the path of other successful Israeli offerings. In 2010, Soda Stream, last seen advertising at the recent Superbowl fixture, raised US$109 million. Its shares have since jumped by over 60%. The following year, Imperva, with its database and security applications, brought in US$90 million and shareholders are 36% better off. And in 2012, Even Caesar raised US$84 and the shares have soared in value by over 100%.

Small wonder that a heavy chunk of Samsung’s new US$100 million investment fund is set aside for new operations in Israel.