(https://rybar.ru/piwigo/i.php?/upload/2023/02/06/20230206155927-3670c814-xl.jpg) The situation in Israel and Palestine - part 3
January 28 - February 6, 2023
🔻Socio-economic policy
▪️Ultra-Orthodox Israeli Finance Minister Bezalel Smotrich initiated the seizure of about $ 29 million from the Palestinian National Authority, which threatens to collapse the PNA budget and massive non-payment of salaries to Palestinian civil servants.
Smotrich argued (https://www.timesofisrael.com/withholding-millions-from-pa-smotrich-says-he-has-no-interest-in-its-existence/) that the PNA supposedly supports terrorism. The fact is that the Israeli authorities are able to do this, since Israel is the eligible tax operator and collector of customs duties in the West Bank. ▪️At the same time, the authorities continue to carry out market reforms - Bezalel Smotrich announced an increase in tax benefits for residents of certain regions, and also reduced the excise tax on fuel. In addition, measures were taken to stimulate competition in Israel. ▪️However, the Central Bank of Israel still believes that the reform of the judiciary will negatively affect the country's credit rating and the confidence of foreign investors in it. 🔻Other newsbreaks ▪️In Jerusalem, several Jewish radicals attacked Armenian Christians who visited the local monastery. ▪️The Israel Teachers' Union last Saturday announced a one-day strike in secondary schools, demanding higher salaries for teachers. ❗️Summarizing the above, we can say that the new far-right government of Israel is trying to position itself as a government capable of toughly and quickly solving the problems facing the state. This is evidenced by the sharp intensification of Israel's foreign policy contacts both with Western partners and with the countries of the region. The tough anti-Iranian rhetoric performs the same function. In domestic matters, the authorities demonstrate their intention to firmly resolve the Israeli-Palestinian conflict in their favor, and economically they are trying to bribe the population with deregulation, tax breaks and lower excise taxes on fuel. Nevertheless, many of the initiatives of the new government remain too controversial - a significant part of society is dissatisfied with the measures being implemented and fear that the harshness of the new authorities may bring the country to the brink of a full-scale war. All this suggests that in the medium term, all the problems in Israel will only worsen. And many residents of the country already understand for sure that the inability of the ultra-right with the ultra-Orthodox to any compromises will play an important role in this aggravation.
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Smotrich argued (https://www.timesofisrael.com/withholding-millions-from-pa-smotrich-says-he-has-no-interest-in-its-existence/) that the PNA supposedly supports terrorism. The fact is that the Israeli authorities are able to do this, since Israel is the eligible tax operator and collector of customs duties in the West Bank. ▪️At the same time, the authorities continue to carry out market reforms - Bezalel Smotrich announced an increase in tax benefits for residents of certain regions, and also reduced the excise tax on fuel. In addition, measures were taken to stimulate competition in Israel. ▪️However, the Central Bank of Israel still believes that the reform of the judiciary will negatively affect the country's credit rating and the confidence of foreign investors in it. 🔻Other newsbreaks ▪️In Jerusalem, several Jewish radicals attacked Armenian Christians who visited the local monastery. ▪️The Israel Teachers' Union last Saturday announced a one-day strike in secondary schools, demanding higher salaries for teachers. ❗️Summarizing the above, we can say that the new far-right government of Israel is trying to position itself as a government capable of toughly and quickly solving the problems facing the state. This is evidenced by the sharp intensification of Israel's foreign policy contacts both with Western partners and with the countries of the region. The tough anti-Iranian rhetoric performs the same function. In domestic matters, the authorities demonstrate their intention to firmly resolve the Israeli-Palestinian conflict in their favor, and economically they are trying to bribe the population with deregulation, tax breaks and lower excise taxes on fuel. Nevertheless, many of the initiatives of the new government remain too controversial - a significant part of society is dissatisfied with the measures being implemented and fear that the harshness of the new authorities may bring the country to the brink of a full-scale war. All this suggests that in the medium term, all the problems in Israel will only worsen. And many residents of the country already understand for sure that the inability of the ultra-right with the ultra-Orthodox to any compromises will play an important role in this aggravation.
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