Sources inform ''Globes'' that Minister of Finance Yuval Steinitz wants a biennial budget for 2013-14, to follow on the 2011-12 biennial budget. Top ministry officials confirmed the report.
Steinitz has therefore decided to suspend until further notice a Ministry of Finance bill, which stipulates that in an election year, or during a severe economic crisis, there will be a one-year budget. Steinitz is now trying to persuade Prime Minister Benjamin Netanyahu to adopt his position for another biennial budget.
Netanyahu will reportedly agree with Steinitz's proposal. Steinitz considers the biennial budgets as one of the signature achievements of his office, especially in view of the current circumstance i.e. if elections are held in late December, assembling a new coalition and writing the 2014 budget could takes months, with the result that there would be no 2014 budget until the middle of the year, which is considered unhealthy for the economy.
A biennial budget for 2013-14 would provide fiscal stability through mid-2014, which is very important, especially if the global economy worsens, as seems possible.
Published by Globes [online], Israel business news - www.globes-online.com - on May 13, 2012
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