Israel adds US$10 billion to its war chest with defence budget increase

Israel’s parliament approved the country’s 2026 budget early Monday, providing for a significant increase in military spending as the country remains engaged in wars on multiple fronts.Lawmakers passed the budget with 62 votes in favour and 55 against.The vote averted an automatic government collapse and snap election that would have followed failure to pass the budget by March’s end, under Israeli law.The proposed total expenditure budget for 2026 amounts to around 850 billion Israeli shekels (US$270 billion).More than 30 billion shekels (US$9.6 billion) had been added to the defence ministry’s budget “in light of Operation ‘Roaring Lion’” bringing the total defence budget to more than 142 billion shekels, the parliament said in a statement, using Israel’s name for the war with Iran.Israel’s defence spending has steadily increased since the war in Gaza broke out following Hamas’ attack on Israel on October 7, 2023.