The Knesset’s Finance Committee has approved the 2008 budget by a majority of 11 to six after two days of negotiations. The budget will now come before the Knesset for final approval.
The committee agreed to approve the budget in exchange for the Finance Ministry’s agreement to cancel a proposed housewives’ tax and a cut in National Insurance Institute (NII) payments. The committee also decided to increase the state provided health basket of medications by NIS 500 million, and decided that health insurance providers must provide life-saving medications to all customers, including those who use the basic government sponsored health care plan and do not pay for a more advanced plan.