הבחירות הסתיימו, הכלכלה תקועה: הגיע הזמן לתוכנית חירום | יהודה שרוני

The article argues that Israel's economy is in a stalemate following the elections and requires an immediate emergency plan, as there is no economic luxury for further delays until a new government is formed. The author, Yehuda Sharoni, emphasizes the urgency of addressing critical economic issues, including the preparation of the 2027 budget, which has only two months left. He suggests that the decision to cut NIS 2.6 billion from government ministries, including those serving the Arab community, should be reversed and the funds sourced from unallocated coalition funds. Sharoni also proposes canceling the decision not to update income tax brackets, National Insurance credits, and increasing VAT by 1%, suggesting these funds could be reallocated. He advocates for a comprehensive law of arrangements including long-neglected reforms and implementing recommendations from the Bank of Israel, particularly regarding tax distortions. These include taxing rental income, removing tax benefits for the wealthy in pension savings, and canceling VAT exemptions on items like fruits, vegetables, and online purchases under $75, which could save over NIS 5 billion annually. The author also touches upon the phenomenon of businessmen in their 90s who continue to hold management positions, attributing their drive to a desire for control and engagement, viewing retirement as an illness. While acknowledging their experience, he suggests that if they become incapacitated, family members should encourage them to step down, perhaps into honorary roles, rather than active positions.

Key economic priorities include finalizing the 2027 budget to provide certainty to the market, canceling the NIS 2.6 billion cut from government ministries and reallocating it from coalition funds, and addressing tax distortions. The article highlights the need to cancel the decision not to update income tax brackets, National Insurance credits, and the 1% VAT increase. It also points out the potential savings of over NIS 5 billion annually by canceling VAT exemptions on fruits, vegetables, and foreign online purchases under $75. The author suggests these funds could be used to reduce the deficit and create growth engines. The piece also discusses the role of elderly businessmen, some in their 90s, who remain active in management, suggesting that while their experience is valuable, they should transition to less active roles if their health declines.