Israel cutting domestic spending to fund Gaza humanitarian aid – report

Israel’s finance minister reportedly pushing to cut funding allocations to government ministries in order to help pay for three-billion-shekel humanitarian fund for Gaza.

By David Rosenberg, World Israel News

Israel is planning on making significant cuts to its state budget in order to create a humanitarian fund on behalf of the Gaza Strip, the country’s national broadcaster reported on Tuesday.

According to a report by Kan, Finance Minister Bezalel Smotrich (Religious Zionist Party) is moving forward with plans to amend the 2025 state budget, increasing the amount allocated for security by roughly three billion shekels ($870 million).

Those new funds would be used to expand Israeli spending on humanitarian aid needs for Gaza civilians, the report claimed, two months after Israel transferred hundreds of millions of shekels from the state budget to fund the new humanitarian aid distribution system in Gaza.

The increased spending for humanitarian aid to Gaza would be at least partially offset by spending cuts elsewhere in the budget.

It is unclear whether the entire three-billion-shekel package would be used to fund humanitarian aid and aid distribution in Gaza, or whether some might be earmarked for the construction of a humanitarian city in southern Gaza.

President Donald Trump noted on Tuesday that Israel has already pledged to help fund aid to Gaza.

“I know Israel is going to help us with that in terms of distribution, and also money,” Trump told reporters in the White House.

Former Finance Minister and Israel Beytenu party chairman Avigdor Liberman castigated the planned budget cuts.

“While benefits are being cut for reserve soldiers who are sacrificing their lives for the country, the finance minister is requesting to transfer another 3 billion shekels to fund the residents of Gaza. The October 7th government is funding terrorists while abandoning our soldiers.”