Ex-Budget Chief Warns Against Annexation, Criticizes Government Economic Policy

Shaul Meridor, former head of the Budget Division and a member of the "Yashar" party, expressed strong opposition to extending Israeli sovereignty over Judea and Samaria, warning that annexing 2.8 million Palestinians would "crush the amazing Zionist enterprise we built here." He argued such a move would impose a heavy economic and security burden and lead to international isolation. Meridor clarified that while his party supports settlement, it must be legal and align with Israel's national interest. He stated the party currently opposes a Palestinian state but refuses to manage the civilian lives of millions of Palestinians.

Meridor also sharply criticized the economic policies of Finance Minister Bezalel Smotrich, describing the current economic upturn as a mere initial recovery from a severe downturn, with Israeli citizens bearing the cost through interest payments on national debt. To fund the defense budget, he suggested reallocating funds from coalition-related budgets, a move he believes a prime minister and defense minister should have pursued. He characterized attempts to increase national debt as a political spin to protect coalition partners at the public's expense.

Addressing the sensitive issue of Haredi (ultra-Orthodox) conscription, Meridor admitted a past mistake by the Budget Division in prioritizing employment exemptions for Haredim. He warned that continued non-conscription would create a deep societal rift and "two economies", one for those who serve and one for draft dodgers. His party plans to advance a universal service law and will not join a coalition with Haredi parties opposing it.

Regarding the youth housing crisis, Meridor stressed the government's obligation to provide long-term rental solutions and discounted tenders for reservists. He believes streamlining planning bureaucracy and reprioritizing national goals could enable young people to realistically aspire to homeownership within one to two years.

Concluding his remarks, Meridor voiced full confidence in the Supreme Court's ability to disqualify candidates and dismissed the death penalty law as populist. He criticized Prime Minister Netanyahu's handling of Israel's international standing and defended Gadi Eisenkot against Likud attacks, praising him as "a person of values, a Zionist, honest, a security expert."