Israel greenlights nearly $940M to rehabilitate Ashkelon and western Negev

“This is an investment not only in money, but in spirit, faith, and vision,” Finance Minister Smotrich said.

By Pesach Benson, TPS

The Israeli government on Monday approved a wide-ranging NIS 3.2 billion ($940 million) plan to rehabilitate and develop the southern region, focusing on Ashkelon and the Western Negev, as part of a national effort to recover from the devastating October 7 Hamas attacks.

The plan’s first initiative, totaling approximately NIS 1.4 billion ($410 million) targets the city of Ashkelon, including major investments in education, public infrastructure, culture, sports, the local economy, and security.

The second initiative is a comprehensive NIS 1.8 billion ($530 million) plan for 2025–2029 aimed at revitalizing six regional authorities in the Western Negev: Ofakim, Netivot, Merhavim, Eshkol, Shaar HaNegev, and Sdot Negev.

The plan includes funding for education, industrial development, public institutions, and innovation hubs, such as a new Agritech complex in Netivot and a biogas facility in Merhavim.

Prime Minister Netanyahu called the approval “large-scale steps for the reconstruction, development and renewal of many communities in the Negev and Ashkelon.”

“We have a deep commitment to the residents of the south, who have demonstrated extraordinary resilience and patience throughout the months of war,” he said.

“We will rebuild our communities together, and work for their prosperity and development as never before. At the same time, we are committed to ensuring that no threat will be reflected from Gaza to the State of Israel and the residents of the south.”

Finance Minister Smotrich framed the move as more than an economic initiative.

“This is an investment not only in money, but in spirit, faith and vision,” Smotrich said. “The South is the beating heart of the country – and we are giving it back the strength it deserves.”

Approximately 1,200 people were killed, and 252 Israelis and foreigners were taken hostage in Hamas’s attacks on Israeli communities near the Gaza border on October 7. Of the 50 remaining hostages, around 30 are believed to be dead.