Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Netanyahu faces budget deadlock

Eric Silver
Monday 29 December 1997 19:02 EST
Comments

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

The Israeli Prime Minister, Benjamin Netanyahu, last night faced the collapse of his economic strategy as squabbles within his coalition resulted in the government being defeated on three clauses of the 1998 budget, which must be adopted by midnight on 31 December.

By law Mr Netanyahu has three months' grace, until 31 March. If he fails to have the budget sorted out by then, he has to call new elections.

Two ministers from smaller parties, Avigdor Kahalani and Rafael Eitan, demanded that he go to the country immediately.

Mr Netanyahu and his Finance Minister, Ya'acov Ne'eman, attempted to impose a cost-cutting Thatcherite budget on a coalition that has no appetite for economic ideology.

Each faction fought to extract maximum benefit for its voters, adding billions of shekels to the bill and casting doubt on the Prime Minister's authority to force through a further withdrawal from the West Bank.

Cuts in family allowances and the health service were dropped. Vast sums were promised to religious seminaries, West Bank settlements and a growing army of unemployed. But he still failed to satisfy all the coalition all the time.

- Eric Silver, Jerusalem

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in