Local taxes have been frozen, and recent price hikes in electricity, water and gasoline have been reduced.

Globes Financial Newspaper, 11. January 2023

Sounds fantastic for the average Israeli – more money in the pocket. But……..

Well, there were no details on who would finance this or how? Just like there have been no details on would finance all the commitments that Bibi has made to his coalition partners, which will keep him in power and assumedly away from the courts of justice.

Now we know that Israel is running an economic budgetary surplus, just, for now. And exports hit a new peak in 2022, despite the threat of a global recession. However, what the financial markets require is both fiscal and monetary stability. The government is not providing all the necessary safeguards for now.

It is only a few months ago that the Liz Truss government in the UK tried a similar policy – reversing the rule book and throwing to the wind financial responsibility. She lasted just over 7 weeks as the PM.

Bibi is more savvy than that. However, the international agencies have already issued a warning. Israel may no longer be able to maintain its high level of worthiness amongst the credit ratings. That will make it more expensive for Jerusalem to raise money in order to cover its debts.

Earlier this week, SKY TV published its independent findings on who funds the MPS beyond their statutory salaries. The lack of transparency was staggering.

If Bibi already seems to be looking at the UK for economic guidance, maybe he should consider releasing details of those who are funding him and his political allies?