Moshe Ya'alon has reneged on his commitment, made just a few weeks ago, to cut the defense budget by NIS 3 billion in 2013-14.
Minister of Defense Moshe Ya'alon is digging the budget hole deeper. Ministry of Defense and Ministry of Finance sources today confirmed that he has reneged on its commitment to cut the defense budget by NIS 3 billion in 2013-14. He made the promise just a few weeks ago.
The Ministry of Finance held urgent meetings today to find money to close the budget hole. The alternative is to cut the budgets of other ministries. The defense budget cut was the single largest reduction in the state budget.
The budget is already NIS 6.6 billion above the spending target, which means that Ya'alon's bombshell is a big headache for the Ministry of Finance. A ministry official said cynically, "It is strange that the defense minister approved this budget only a few weeks ago. It is interesting what has happened lately."
Published by Globes [online], Israel business news - www.globes-online.com - on July 10, 2013
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