Israel hopes to bridge its deficit with $10 billion worth of broad cuts (especially in public transportation & education) and tax increases (VAT, national insurance, a bracket freeze which effectively raises income tax).

This is without factoring the military budget, which will be determined separately with the Nagel Committee, who are understood to be seeking an additional 300 billion shekels across the decades for Israel’s army. Israelis will serve for longer periods in the reserves, removing bodies from the economy.

Laborers & small business owners will shoulder the budget, while Israel’s northern-based population still agitate for further security demands and subsidies.

Families with loved ones held by Palestinian Resistance groups are abused by regime loyalists for demanding the government negotiate prisoner exchanges and a permanent ceasefire.

Israel’s opaque war objectives and timeline, growing international isolation, and over-reliance on a floundering US economy—supplying Israel’s crucial high-tech sector with 80% of its capital—stir consternation among Israel’s elite.

Source: Calcalist, Haaretz