Rehabilitation without development and a lack of budgetary sources: the government will discuss plans for the rehabilitation of settlements surrounding Gaza and the north

The government will meet tomorrow (Wednesday) to discuss plans for the rehabilitation of the north and south. The government ministers will discuss two plans. The first, the Takuma plan for the reconstruction of Gaza with an investment of NIS 19 billion. The plan will be put to a government vote on the entire amount, but NIS 4-5 billion of it will require government votes in the future, since they do not yet have a budgetary source.

The bill that discusses the renewal and development of the revival region and its people has undergone changes in the last two weeks. The heads of the councils in the Gaza Envelope criticized the decision of Takuma administration to separate reconstruction budgets and development budgets, to subordinate the development budgets to future government decisions. This separation will greatly reduce the amount that will be allocated to the director in the coming period. The draft law that will be submitted to the government will contain a commitment to invest NIS 18 billion in the reconstruction and development surrounding Gaza, but transferring part of the amount to development will require additional approval from the government.

Takuma Administration has already received a budget of approximately NIS 3 billion in the 2023 budget, to promote rehabilitation procedures and support evacuees. According to a document presented last week to the heads of councils in Otef, the state will invest NIS 5.3 billion in housing and employment solutions; NIS 4.6 billion in the education, health and welfare systems; NIS 2.2 billion in employment development; NIS 1.2 billion in local security systems; NIS 1.1 billion in agriculture; and NIS 300 million in commemoration and legacy. The bulk of the budget investment will be in 2024-2025, mainly because of the amounts required for the rehabilitation of the settlements. Some settlements in the Gaza Envelope were severely physically damaged, and the state will be required to rebuild neighborhoods and give compensation and grants to residents, including settlement grants, return grants and temporary settlements.

The government will also discuss the North plan for the rehabilitation and development of the North with an investment of NIS 3.5 billion. According to the outline of the program presented by the Director General of the Prime Minister’s Office Yossi Sheli, the money will be invested in strengthening businesses, upgrading educational institutions, promoting urban renewal and tax benefits for families and businesses. In the meantime, designated funds will be allocated for the establishment of the University of the Galilee and the establishment of a new medical center. 2 billion shekels will be allocated to strengthen security and protected, half a billion shekels in the framework of education and services for the evacuees in the intermediate centers, and another billion shekels for various needs. Shelley assured the heads of the councils that an expanded plan would be submitted, with an addition of 3 billion shekels to promote development plans, but it also does not yet have a budget source, and if it is proposed, its implementation will be subject to future government decisions.