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Ongoing Story· Day 7

Israel Faces Budgetary Freeze Impact on Education, Coalition Funds

3 developments

MakoPolitics

Ultra-Orthodox Sector Faces Major Funding Cuts If Parties Stay Out of Government

Translated & summarized from Mako by baba

CenterCharged tone

Hebrew · 1 newsroom

Israel is facing a continuing budget period in under two months, threatening the ultra-Orthodox sector with the loss of approximately 535 million shekels in coalition funds. These cuts impact seminaries, youth groups, and educational institutions. Yeshiva budgets have already been reduced and could fall further in a continuing budget. Haredim evading military service are also facing economic sanctions, with potential for more penalties.

The story in 5 lines · by baba

  • Ultra-Orthodox sector faces losing 535 million shekels in funding if parties remain outside government.
  • Seminary, youth, and educational programs are at risk of losing significant funding.
  • Yeshiva budgets could drop to 300-700 million shekels in a continuing budget.
  • Haredim evading military service are already facing economic sanctions.
  • Potential funding loss may influence Haredi political considerations regarding government formation.

Israel is projected to enter a continuing budget period in less than two months, a scenario that poses significant financial risks to the ultra-Orthodox community. Without coalition funds, which are typically secured by Haredi parties participating in government, the sector stands to lose approximately 535 million shekels. These funds are allocated to various institutions including seminaries, youth organizations, and educational facilities.

Specific programs at risk include approximately 100 million shekels for Haredi seminaries, another 100 million for incentive and enrichment programs in exempt and recognized educational institutions, 85 million for Haredi youth organizations, and 80 million for Jewish-Haredi culture. Additionally, funding for "Great Summer School" and daycare centers, totaling 70 million shekels, and the "Education for Youth" program, worth 50 million shekels, are also in jeopardy. Smaller allocations for servers and secretaries in exempt and recognized institutions (30 million shekels) and for at-risk youth (20 million shekels) are also threatened.

This potential loss of funding comes on top of existing budget cuts affecting the Haredi sector. These prior reductions were implemented due to the absence of a conscription law, in accordance with High Court of Justice and Attorney General directives. The budget for yeshivas, for instance, has already been reduced from 1.7 billion shekels to 1.1 billion shekels. In a continuing budget, this amount could plummet further to between 300 and 700 million shekels.

The yeshiva budget calculation is based on the number of eligible students, which is influenced by the state's enforcement of conscription. As the number of draft dodgers increases, the student count for budget purposes decreases. Meanwhile, Haredim who are obligated to enlist but have not regularized their status are already facing economic sanctions, including the loss of daycare subsidies, national insurance benefits, and housing discounts. Future sanctions may include exemptions on municipal taxes, daycare, and public transportation.

The financial implications of remaining outside the government may be influencing the political calculations of some Haredi Knesset members, potentially explaining their pressure to explore alternatives to further elections, such as a government led by Gadi Eisenkot.

MakoCentre · Neve Ilan

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