Budget

Amir Yaron of the Bank of Israel extends public relief and calls for a committee to devise a multi-year defense budget plan due to economic challenges

While the Knesset prepares to pass the national budget for 2024, the question of a rising defense budget and dwindling funds for social services are at the top of the agenda.

Prof. Yaron Zelekha explains why rating agencies are losing confidence in Israel's economic policies.

Committee members, mostly from the opposition, voiced concerns over the budget, especially in the wake of the credit rating agency Moody's decision on Friday to lower Israel's rating.

Now that Israel is at war, having to finance a steep rise in military expenses, priorities must change.

The vote will be held after press time on Wednesday night.

"At this moment, it would be a mistake to disband the emergency government," he said, "but if I come to the conclusion the government is moving in the wrong direction, I will reassess my stance."

"We have good news for America. There will not be a shutdown on Friday," Senate Majority Leader Chuck Schumer, a Democrat, said on the Senate floor just before the vote in that chamber.

"Israel must fulfill its role as the state of the Jewish people – it is not just our right, it is our duty," Chikli wrote.

Ministers are slated to start debate on a 2024 wartime budget that would add tens of billions of extra spending, and a vote could come in the middle of the night on Friday.