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Verdict
Yes — you can hold Israel and Germany citizenship simultaneously.
Israel
Dual citizenship policy
Permitted — Israel allows dual citizenship.
Germany
Dual citizenship policy
Permitted for Article 116 restitution and StAG §15 cases. For standard descent: generally requires renunciation, but 2024 dual citizenship reform now permits it.
Both Israel and Germany permit dual citizenship. You can acquire, hold, and use both passports simultaneously without legal restrictions.
This assessment is based on each country's current nationality law. Dual citizenship rules can change — always verify with the relevant consulate or an immigration attorney before making decisions about renunciation or acquisition.