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Ongoing Story· Today

Israel Approves $270 Million for Urgent Defense Procurement

7 developments

i24NEWS ArabicPolitics

Israel Approves Fund Transfer for Apache Helicopters, Diverting Arab Community Budget

Translated & summarized from i24NEWS Arabic by baba

CenterCharged tone

Arabic · 14 newsrooms covering

The Israeli government approved diverting hundreds of millions of shekels from the Arab community's development budget to fund the purchase of 12 Apache helicopters. The decision, proposed by Finance Minister Bezalel Smotrich, aims to address a significant deficit in the security establishment's budget. The funds will be transferred over several years, with the 2026 portion coming from interest reserves and later years from the Arab community budget. This move occurs during a sensitive pre-election period, though legal advisors found no formal impediment.

The story in 6 lines · by baba

  • Israel's government approved diverting hundreds of millions of shekels from Arab community funds for Apache helicopter purchases.
  • Finance Minister Bezalel Smotrich proposed the transfer to meet urgent security needs and a budget deficit.
  • The decision aims to expedite the acquisition of 12 Apache attack helicopters from the U.S.
  • The security establishment faces a significant budget deficit, reportedly reaching 40 billion shekels.
  • The fund transfer occurs during a sensitive pre-election period in Israel.
  • Legal advisors found no formal impediment to the budget reallocation.
Israel Approves Fund Transfer for Apache Helicopters, Diverting Arab Community Budget
Editorial illustration generated by baba News, not a photograph of the event.

The Israeli government has approved the reallocation of hundreds of millions of shekels from the budget designated for the development of the Arab community to fund urgent security needs. This decision aims to expedite the purchase of 12 Apache attack helicopters amid warnings of a significant deficit in the security establishment's budget.

The resolution, passed via an urgent phone vote on Wednesday, was proposed by Finance Minister Bezalel Smotrich. It involves transferring funds from the five-year plan for the Arab community to finance security procurements between 2027 and 2029. According to documents presented to ministers, the Ministry of Defense will receive 68 million shekels in 2026, 169 million in 2027, 342 million in 2028, and 453 million in 2029 for the helicopter deal.

Funding for 2026 will come from reserves for interest and commissions, while the allocations for 2027-2029 will be drawn from the Arab community development budget. Smotrich acknowledged the transfer is linked to the Apache deal, stating the payment schedule necessitates early funding sources. He added that this is a temporary solution and the allocations will be reviewed during the 2027 budget discussions. The government is also expected to approve a broader budget cut of approximately 2.6 billion shekels for urgent needs.

The decision comes during a sensitive pre-election period, prompting legal reviews that cautioned against non-essential government actions. However, legal advisors found no impediment, clarifying that the transfer does not cancel the Arab community plan but reduces its available resources. Adjustments can be made in future budgets.

Meanwhile, security sources report a substantial budget deficit of up to 40 billion shekels for the security establishment in 2026. Despite understandings reached in June, funds have not yet been transferred. The current reallocation, totaling about one billion shekels across the coming years, is intended to enable the signing of the helicopter purchase agreement, which was delayed past its deadline after multiple extensions from the U.S. administration. The funding mechanism involves deferring other security payments, with the budget reduction described as a technical accounting measure requested by the Finance Ministry.

i24NEWS ArabicCentre · Jaffa

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