New Parties Face Millions in Debt After Election Shortfall

As vote counting continues, new Israeli political parties that fail to pass the electoral threshold face significant financial challenges, with potential losses of millions of shekels in campaign guarantees. The law limits donation amounts, requiring parties to raise substantial guarantees to fund campaigns.

Two prominent lists, the Reservists and Economics list led by Yoaz Hendel and Professor Yaron Zelekha, and the Am Israel party led by Ofer Vinter, are particularly affected. While both are expected to surpass the 1% vote threshold required to receive state funding of approximately 1.835 million shekels for the 2026 elections, this amount may not cover their debts.

Reports indicate that Hendel and Zelekha's joint list raised private guarantees totaling 7.1 million shekels and donations of about 650,000 shekels. Zelekha personally provided a guarantee of 1.6 million shekels. It is unclear how much of these guarantees were utilized, but significant forfeiture or further fundraising may be necessary.

In contrast, Ofer Vinter's Am Israel party raised guarantees amounting to 11.4 million shekels and took out loans of approximately 8.5 million shekels, with only 42,000 shekels in donations. If the party utilized its full guarantees, it could be left with over 9.5 million shekels in debt post-election. Dr. Assaf Shapira, Director of the Political Reforms Program at the Israel Democracy Institute, stated that a large portion of the private guarantees provided to Vinter's party is likely to be forfeited.