The Prime Minister's Office is engaged in feverish efforts to obtain a large majority for the 2003 budget. As of web posting, Prime Minister Ariel Sharon had summoned the coalition faction heads: Minister of Defense Benjamin Ben-Eliezer (Labor), Minister of Internal Affairs Eliyahu Yishai (Shas), MK Efi Eitam (National Religious Party), and Minister of Housing and Construction Natan Sharansky (Yisrael Be'Aliya) for a discussion of the economic measures and budget cuts.
Minister of Finance Silvan Shalom is taking part in the discussion. Non-stop consultations and efforts at persuasion will continue until the special cabinet budget session begins tomorrow at 9:00 AM.
Even before today's discussion, the heads of Shas, the National Religious Party, and Yisrael Be'Aliya announced they would struggle within the government against the economic measures without resigning. Ben-Eliezer also refrained from threatening a political crisis if the government passes the plan tomorrow.
Minister of Justice Meir Sheetrit today called for changes in the Ministry of Finance plan, including a higher capital gains tax.
Sharon and Shalom met the heads of the economics associations around noon, including Manufacturers Association president Oded Tyrah, Federation of Israeli Chambers of Commerce chairman Dan Gillerman, Association of Contractors and Builders in Israel president Samuel Olpiner, Israel Association for the Self-Employed Zeev Weiner, and Israel Hotel Association president Avi Ella.
Tyrah said the economic associations supported the plan in principle, although some measures required adjustment. He added that difficult decisions were unavoidable in order to preserve stability and prevent a financial crisis.
Published by Globes [online] - www.globes.co.il - on July 29, 2002