BICOM

Prime Minister Benjamin Netanyahu yesterday welcomed the passing of the controversial ‘National Housing Committees’ law by the Knesset, and said that the current wave of political protest did not threaten his coalition, according to an article in Haaretz this morning. The new National Housing Committees will fast track the authorisation and construction of housing. Protesters opposed the bill due to it not containing any mechanisms for controlling houses prices. The Haaretz article quoted un-named ‘political sources’ who said that the prime minister is formulating a wider economic plan that will be presented in the coming months. The intention of the plan is to slash indirect taxes and to break the monopolies in the economy that the prime minister considers are preventing competition. Netanyahu is also set to establish a ‘dialogue team’, including ministers and economic experts, who will meet with the protest leaders and hear their demands.

Netanyahu was also quoted in the article as dismissing any likely electoral fall out from the protests. Recent polls have indicated that a large majority of Likud voters support the protests. But the prime minister believes, according to Haaretz, that this sentiment will not affect the voting preferences of Likud supporters on Election Day. General elections are next due in Israel in 2013.

In related news, the Finance Ministry and Israeli Medical Association reached a breakthrough yesterday with both sides agreeing to add 1,000 staff positions, as per the demands of the IMA and medical residents. The sides also agreed on encouraging doctors to work in the periphery by offering grants of up to NIS 300,000. The parties are still negotiating over the doctors’ remaining demands.