KFC is pulling out of Israel - the chain's fate is again in question

The future of the KFC chain in Israel has once again come into question amid reports of new difficulties. After the closure of eight restaurants in 2025, which accounted for 40% of the chain, various scenarios are being discussed, including a further reduction of its presence. There is no official decision on the brand's exit, and 12 restaurants continue to operate.

The future of the KFC fast-food chain in Israel has once again come into question. Following the large-scale closure of eight branches in March 2025, which affected about 40% of the chain, new difficulties for the American brand are being discussed in the restaurant industry. A source close to the chain confirmed that various scenarios are being considered, including a possible further reduction of its presence. At the same time, there is no official decision to leave the Israeli market, and 12 operating restaurants continue to work as usual. The reason for last year's closures was a decline in revenue and financial difficulties of the franchisee Mefco. Earlier, it was planned to transfer the closed locations to another operator, but a year and a half later, the question of the scale of KFC's presence has arisen again. The brand's history in Israel includes several unsuccessful attempts to establish itself: after leaving in 2012, the chain returned in 2020 with a new strategy, abandoning kosher certification and using the original recipe.