Israel: Netanyahu's coalition agrees on budget – new elections averted

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Israel's Prime Minister Netanyahu before the vote on the budget

Photo: Abir Sultan / EPA

Time was of the essence, the cohesion of the right-wing religious government around Israel's Prime Minister Benjamin Netanyahu was at stake: After tough negotiations, Israel's parliament finally passed the budget for the current and next year in the morning hours.

The budget was approved in the final reading, according to a spokesman for Netanyahu's Likud party. According to the Knesset, the total budget will be around 484 billion shekels (120 billion euros) for 2023 and around 514 billion shekels (about 130 billion euros) for 2024.

"We will continue for four good years," Netanyahu said after the vote, according to media reports. If the budget had not been adopted by 29 May, the parliament would have dissolved automatically. New elections would have been necessary. In the past, several governments had failed to pass the budget. "We have received the tools and are now rolling up our sleeves and getting to work," said Finance Minister Bezalel Smotrich.

Before the vote, several coalition partners had threatened not to vote for the budget. Among others, the right-wing extremist police minister Itamar Ben-Gvir and the strictly religious coalition partners demanded more money for their areas. Netanyahu finally reached an agreement with the individual parties shortly before the final vote.

Major concessions to the ultra-Orthodox

This required major concessions. According to the AP news agency, the budget includes several billion euros, which are to flow to ultra-Orthodox parties and settler parties. According to this, there should be controversial subsidies for strictly Orthodox Jews, with which they can attend full-time religious seminars instead of completing the compulsory military service for most men. Ultra-Orthodox schools are also to receive more money.

On Tuesday evening, thousands of people demonstrated in Jerusalem against the allocation of further funds to ultra-Orthodox Israelis. They protested against the "looting" of public funds. Opposition leader Yair Lapid also criticized the distribution of the funds as devastating. The budget promotes the dependence of parts of the population on the state.

Netanyahu's right-wing religious coalition has a majority of 64 of the 120 seats in parliament. The most right-wing government in Israel's history was sworn in at the end of last year.

fek/dpa/AP