Prime Minister Sharon and Binyamin Netanyahu finalized the terms of the latter's appointment as Finance Minister early this afternoon. Sharon agreed to most of Netanyahu's terms, including full backing from the government, the authority to set the composition of the economic cabinet and to privatize government-owned companies, and the mandate to negotiate Israel's request for American loan guarantees. Sharon did not, however, grant Netanyahu the right to be Acting Prime Minister - a position he gave to Ehud Olmert instead. An Acting Prime Minister takes the place of the Prime Minister when the latter is out of the country or otherwise incapacitated, and can serve in this position for up to 100 days before another Minister-MK is chosen as Interim Prime Minister.



Olmert will be Minister of Industry and Trade, a portfolio that will include the Israel Lands Authority, and he will also be a member of the inner security mini-cabinet and of the negotiating team with the PA. Also within the Likud, Finance Minister Silvan Shalom will take over the Foreign Ministry, Tzachi HaNegbi will be Minister of Public Security, Tzippy Livny will be Minister of Immigrant Absorption, and Danny Naveh will serve as Health Minister. Uzi Landau and Meir Shitreet will be Ministers without Portfolio.



MK Ze'ev Boim, who served as Likud Knesset faction head in the previous Knesset, said today that the imbroglio into which Sharon fell regarding the ministerial appointments was caused by mistakes made in the Likud's coalition negotiations with Shinui.