THE ISRAELI military has warned that implementing sweeping defence cuts in order to finance social reform will endanger the country.
A cut of €600 million to the defence budget was a key recommendation of a committee of experts appointed by prime minister Binyamin Netanyahu in response to Israel’s summer of discontent in which more than 400,000 people marched for social justice and a more equitable distribution of wealth.
The panel, chaired by Prof Manuel Trajtenberg, one of Israel’s leading economists, presented its findings yesterday after being given a mandate to find “economically sound” ways to reduce the cost of living without breaching the budget framework.
Among the committee’s main recommendations were free education from age three, massive building of new homes, tax breaks for working couples and reducing customs duties on imports.
In order to pay for the social package, taxes will be increased for the top wage earners and planned tax reforms will be shelved.
However, Prof Trajtenberg noted that Israel’s social security was as important as its physical security, and the main source of revenue will come from cuts in the defence budget.
Mr Netanyahu defended the defence cuts. “The security of Israel’s citizens is the top priority of my government. The defence budget remains the biggest among all government ministries. Nonetheless, efficiency and transparency in the defence establishment are two important components which will help improve the welfare of Israel’s citizens.”
Military officials responded angrily, arguing that Israel was facing unprecedented challenges, including an Iranian nuclear threat, uncertainty with the Palestinians in the West Bank, regime change in Egypt and the Syrian uprising. The army, they argued, had to be ready for any eventuality and this was not the time for cutbacks.
Defence officials warned that deployment of anti-missile batteries on Israel’s borders would be delayed, training scaled back and some army squadrons would have to be grounded. “Israel will not be able to protect itself from missiles fired from Lebanon and Syria. The enemy will grow stronger while the scope of threats is becoming wider with the current changes in the Middle East,” one official told the Ynet website.
Defence minister Ehud Barak said life itself took precedence over the quality of life.
“An investment in Israel’s security is an insurance policy. There is no possibility to implement these cuts without exposing Israeli citizens to danger.”