Israel to Reallocate Funds and Close Ministries for War Effort Budget

September 16, 2024

Prime Minister Benjamin Netanyahu’s administration is spearheading a significant shift in Israeli government policy by moving to reallocate funds to support ongoing war efforts. According to Israeli Channel 7, Finance Minister Bezalel Smotrich has proposed an initiative to close five government ministries that are deemed non-essential. The proposal aims to reduce public criticism while securing the necessary budget for military needs, reconstruction, and civilian welfare. This measure suggests that each coalition party selects one ministry under its jurisdiction to be shut down, as the government grapples with the significant financial demands posed by the conflict.

This reallocation plan arises amid growing concerns over public sector salary cuts and the potential increase in income taxes as part of Smotrich’s budget proposal for 2025. The budget earmarks NIS 160 billion for the war effort, NIS 44 billion for civilian needs, and NIS 20 billion for reconstruction and rehabilitation. By closing select ministries, the administration aims to mitigate public discontent while managing state resources more effectively during these precarious times. This strategy is part of a broader effort to fulfill the public’s wartime needs without jeopardizing overall economic stability.

Balancing Defense and Public Services

Prime Minister Benjamin Netanyahu’s administration is leading a major policy shift in Israel by reallocating funds to support ongoing war efforts. Finance Minister Bezalel Smotrich has proposed an initiative to shut down five non-essential government ministries. This plan, reported by Israeli Channel 7, aims to lower public criticism while securing funds for military operations, reconstruction, and civilian welfare. Each coalition party would select one ministry under its control for closure, helping the government manage the financial demands of the conflict.

The reallocation plan comes amid worries about public sector salary cuts and a potential rise in income taxes as part of Smotrich’s budget proposal for 2025. The budget sets aside NIS 160 billion for war efforts, NIS 44 billion for civilian needs, and NIS 20 billion for reconstruction. Closing select ministries aims to ease public dissatisfaction while better managing state resources during these challenging times. This strategy aims to fulfill wartime needs without jeopardizing overall economic stability, reflecting a broader effort to balance military and civilian priorities in a high-stakes environment.

Subscribe to our weekly news digest!

Join now and become a part of our fast-growing community.

Invalid Email Address
Thanks for subscribing.
We'll be sending you our best soon.
Something went wrong, please try again later