Katz enabling loophole for new elections

Netanyahu, Gantz fail to reach deal on budget

New Finance Minister Israel Katz (photo credit: FINANCE MINISTRY)
New Finance Minister Israel Katz
(photo credit: FINANCE MINISTRY)
Finance Minister Israel Katz announced on Thursday that he would try to pass two state budgets, for 2020 in September and for 2021 in December, raising concerns in Blue and White that Prime Minister Benjamin Netanyahu could initiate an election.
The coalition agreement currently states that Blue and White leader Benny Gantz would become prime minister of a caretaker government if elections are initiated after November 17, except if the state budget does not pass. If the 2021 budget does not pass by March, the law would require elections to be initiated immediately.
Netanyahu met with Gantz about the budget on Thursday afternoon. Netanyahu reportedly failed to persuade Gantz to give up a clause in the coalition agreement requiring the passage of a two-year budget.
"I will insist on a two-year budget," Gantz told confidants. "The coalition agreement must be respected."
Officials in Blue and White have told Likud that passing one budget for 2020 and 2021 would make more sense, because it would be for five quarters of a year and would not violate the coalition agreement.
Blue and White leaders have been pushing for extending, rather than cutting short the current term. A Smith Research poll taken this week for The Jerusalem Post found that if elections would be held now, Blue and White would fall to only 10 seats.
Finance Minister Israel Katz convened senior professionals in his ministry on Thursday morning. They all recommended passing two state budgets.
“I understand the concerns about the coalition,” Gantz told KAN Radio. “No one is going to elections. We will all behave responsibly.”
The Finance Ministry asked Katz to urge Knesset Speaker Yariv Levin to cancel the summer recess of the Knesset in order to meet the timetable for passing the budget.
Opposition leader Yair Lapid (Yesh Atid-Telem) said it would be unprofessional and irresponsible of Blue and White to seek a two-year budget at a time of severe economic uncertainty. "It would harm unemployed and self-employed just for petty politics," Lapid said.