Kammala wannan jumlar: A watan Yunin 1985, Isra'ila ta janye yawancin sojojinta daga Lebanon, ta bar ragowar sojojin Isra'ila da 'yan bindiga da Isra'ila ta goyi bayan su a kudancin Lebanon a matsayin "yankin tsaro" da kuma kariya daga hare-hare a arewacin yankin. Tun daga wannan lokacin, IDF ta yi shekaru da yawa tana yaƙi da kungiyar Shi'a ta Hezbollah, wacce ta zama babbar barazana ga Isra'ila. A watan Yulin 1985, hauhawar farashin kayayyaki na Isra'ila, wanda ke da alaƙa da haɗin haɗin albashi mai rikitarwa, ya kai 480% a kowace shekara kuma ya kasance mafi girma a duniya. Peres ya gabatar da kulawar gaggawa game da farashin kuma ya rage kashe kudaden gwamnati cikin nasarar kawo hauhawar farashin kaya a karkashin iko. An maye gurbin kuɗin (wanda aka sani da tsohon shekel na Isra'ila) kuma aka sake suna da sabon shekel na Isra'ila a cikin adadin 1,000 tsohon shkalim = 1 sabon shekel. A watan Oktoba na 1985, Isra'ila ta mayar da martani ga harin ta'addanci na Palasdinawa a Cyprus ta hanyar kai harin bam a hedkwatar PLO a Tunis. Ƙarin zama na Isra'ila da ci gaba da mamaye Yammacin Kogin da Gaza Strip ya haifar da
Intifada ta farko ta Palasdinawa (tashin hankali) a 1987, wanda ya ci gaba har zuwa yarjejeniyar Oslo ta 1993, duk da ƙoƙarin Isra'ila na danne shi. Rikicin kare hakkin bil'adama da sojojin Isra'ila suka yi ya sa wasu gungun Isra'ilawa suka kafa B'Tselem, wata kungiya da aka sadaukar don inganta wayar da kan jama'a da kuma bin ka'idojin kare hakkin bil'adama a Isra'ila.