Knesset Finance Committee to Approve $4 Billion Defense Budget Increase Amid Political Disputes

The Knesset Finance Committee is set to convene on Wednesday to approve a significant transfer of funds, including approximately 15 billion shekels (around $4 billion) for the defense establishment. This move comes less than five weeks before the upcoming general election.

The defense budget increase, intended for arming the IDF and funding reservists, was initially approved by the government two months ago but has been stalled in the Knesset since August 2nd. The transfer requires agreement between the ruling coalition and the opposition, as stipulated by election regulations.

The Ministry of Finance's request details a total of 14.748 billion shekels for defense needs, comprising 11.5 billion approved a month and a half ago, with an additional 3 billion added recently. However, a further request from the IDF for over 25 billion shekels remains unresolved due to disagreements between Prime Minister Benjamin Netanyahu and Opposition Leader Yair Lapid regarding funding sources. Lapid has reportedly demanded a cut in coalition funds in exchange for the opposition's approval of the additional, non-urgent defense spending.

Opposition members have indicated they will approve transfers previously agreed upon in the "Agreements Committee" but will oppose any last-minute additions. The committee will also consider other financial transfers, including 72 million shekels for the National Security Ministry, 6 million shekels for welfare programs targeting at-risk youth, 46 million shekels for the Ministry of Jerusalem and Tradition for events in Meron, and 40 million shekels for the Housing Ministry. Additionally, 164 million shekels are earmarked for the National Insurance Institute for benefits, including return grants for war evacuees, and 47 million shekels for the Survey of Israel for mapping areas in C and East Jerusalem. The committee will also address outstanding requests from the Ministry of Finance, including 800 million shekels for the compensation fund and 38.6 million shekels for COGAT (Coordinator of Government Activities in the Territories).