Home » Economy » Without a conscription law, the ultra-Orthodox will not be able to escape the economic trap

Without a conscription law, the ultra-Orthodox will not be able to escape the economic trap

Shas Party Set to Return to Israeli Coalition in Exchange for Conscription Law Push

Jerusalem – Political maneuvering in Israel is reaching a fever pitch as the Shas party appears poised to rejoin Prime Minister Benjamin Netanyahu’s coalition government. The key to this potential reunification? A preliminary vote on a new conscription law, a deeply divisive issue that has long been a sticking point in Israeli politics. This breaking news development, reported by TheMarker, signals a significant shift in the political landscape and raises questions about the future of religious exemptions in the Israeli military.

The Conscription Law: A Bargaining Chip

The agreement, reportedly already reached between Shas leader Aryeh Deri and Prime Minister Netanyahu, hinges on the approval of a new conscription law, even if its ultimate passage through the Knesset remains uncertain. The appointment of Boaz Bismuth as Chairman of the Knesset Foreign Affairs and Defense Committee is seen as a strategic move to facilitate revisions to the law, aiming to address concerns within the ultra-Orthodox community. However, analysts suggest the primary goal is to create the *appearance* of progress, enough to allow Shas back into the government.

Economic Pressure Fuels the Return

Shas’s initial departure from the coalition was triggered by a wave of criticism directed at Aryeh Deri. Now, economic realities are driving the party’s eagerness to return. The ultra-Orthodox sector is facing increasing financial strain, and Shas leaders recognize the importance of regaining control of key ministries to secure vital funding. With elections looming, securing an approved state budget before campaigning begins is paramount. The 2026 budget is particularly critical, as it directly impacts funding for ultra-Orthodox institutions and benefits.

Yeshiva Funding at Risk: A Deep Dive

At the heart of the matter lies funding for yeshivas – religious schools. In 2025, the yeshiva budget was set at 1.7 billion shekels, but only 1.2 billion were actually disbursed due to a High Court of Justice ruling concerning the conscription law. This ruling suspended funding for approximately 80,000 students eligible for conscription. Currently, around 210,000 students study in yeshivas across Israel. The Ministry of Finance has frozen a further 1.2 billion shekels in reserve, leading to drastically reduced scholarships – now around 400 shekels per month, comparable to levels seen during the previous government.

Navigating Legal Challenges and Restrictions

The ultra-Orthodox community is facing increasing restrictions on how they can access and utilize state funds. New regulations tie funding directly to student numbers and teacher qualifications, limiting their ability to maneuver. Furthermore, they’ve lost access to “coalition money” – discretionary funds previously available to them. Attempts to circumvent these restrictions, such as increasing funding for overseas students, are being closely monitored by government agencies and are likely to face legal challenges.

A Broader Strategy: Reshaping the Legal Landscape?

Beyond budget concerns, some observers believe the ultra-Orthodox are pursuing a longer-term strategy: reshaping the legal system. Recent attacks on the Chairman of the Supreme Court, the government’s legal advisor, and other legal professionals are seen as part of an effort to install individuals more sympathetic to their goals. This could pave the way for overturning High Court rulings and securing greater financial freedom. This tactic, however, is drawing criticism from those who fear it undermines the rule of law and could further exacerbate divisions within Israeli society.

The Implications for Israel’s Future

This situation highlights the complex interplay between politics, religion, and economics in Israel. The potential return of Shas to the coalition, coupled with the ongoing debate over conscription, underscores the challenges facing the country as it navigates its identity and future. The outcome of this struggle will have far-reaching consequences, not only for the ultra-Orthodox community but for the entire nation. The delicate balance between religious freedom, national service, and economic stability hangs in the balance, and the coming months will be crucial in determining Israel’s path forward. Stay tuned to archyde.com for continued coverage of this developing story and in-depth analysis of its implications.

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