Finance Committee Blocks 1 Billion Shekels to Rebuilding Authority Over Delayed Northern Aid

Knesset Finance Committee Chairman Hanoch Milwitsky has halted the transfer of over one billion shekels to the Rebuilding Authority amid ongoing delays in compensating northern Israeli businesses affected by recent conflicts. Although the government approved the release of remaining northern rehabilitation funds months ago, half a billion shekels designated for continuous business damage compensation have yet to reach their intended recipients. Milwitsky demanded explanations from the Rebuilding Authority representatives during a committee session and declared he will not approve further budget transfers until the outstanding compensation payments are delivered.

This dispute follows a request from the Prime Minister's Office for a detailed breakdown of the Rebuilding Authority's budgets and spending to identify unused funds that could be redirected to support small businesses in the north. Despite repeated inquiries, the requested financial data has not been provided. The Rebuilding Authority denies holding the funds, stating the Ministry of Finance has not yet transferred the compensation budget to them, making immediate payments impossible.

The conflict escalates after four recent Finance Committee hearings addressing the economic hardships faced by businesses and local authorities in the northern conflict zone. Business owners and regional leaders have repeatedly warned that government-approved aid has not materialized on the ground months after the decision. The delay has now sparked a direct confrontation between the Finance Committee, the Ministry of Finance, and the Rebuilding Authority, with each party blaming the others for the impasse.