Today, the Knesset Finance Committee approved a relocation worth NIS 300 million from the Union Fund. This is funds allocated at the request of the Union parties. This is just a small portion of the total amount approved by the government two weeks ago, which is NIS 3.6 billion, and could still increase. The remaining money awaits legal approval and transfer as part of the 2025 budget process.
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The transfer, approved today, is primarily for the ministry of settlements and the Ministry of State Mission, led by Finance Minister Bezarel Sumotrich, Oritt Strook of the Religious Zionist Party. The ministry received a coalition fund of NIS 268 million people.
Furthermore, the Jerusalem Issues and Jewish Heritage Ministry received 90 million people, led by Meia Porsch (United Torah Judaism). 6.3 million NIS have been transferred to the Ministry of Heritage. This was headed by Amihai Eliyahu until the Otzma Yehuddit Party withdrew from the government and was now under the control of Heim Katz (likud).
In addition to the distribution of the Union Fund, the Treasury Department is pushing for a full cut in the basic budget of government ministries after failing to complete a legislative process aimed at increasing the state’s revenues. The goal is to save nearly NIS 3 billion to meet the deficit target of the 2025 budget, which is 4.9% of GDP.
Meanwhile, as reported by “Globe”, the legal opinion of the resignation ministry of Treasury’s lawyer ASI Messing, is responsible for torpedoing the majority of funds for Torah institutions. There is a demand from smessing that NIS 400 million should be cut from NIS 1.7 billion allocated to Torah facilities on the ground that it is legally impossible to support people avoiding IDF conscription. He has expressed his opinion on the ruling by the Court of Justice, saying “If there is no legal basis for postponing military service, the legal basis for state support for those who avoid conscription will also collapse.”
The state’s budget is expected to reach the final vote at Knesset by the end of this month. If the budget is not approved by then, the Knesset will dissolve and the country will go to the poll.
Published by Globes, Israel Business News – En.globes.co.il – March 17, 2025.
©Copyright of Globals Publisher Itonut (1983) Ltd., 2025.
