From the Liveblog of
Wednesday, March 11, 2026
Knesset okays removing key parts of Smotrich’s economic reform from Arrangements Law
Add ToI as a Preferred Source on GoogleSam Sokol is a former political correspondent at The Times of Israel. He was previously a reporter for the Jerusalem Post, Jewish Telegraphic Agency and Haaretz. He is the author of "Putin’s Hybrid War and the Jews"
The Knesset votes to approve the decisions of two Knesset committees to remove two key parts of Finance Minister Bezalel Smotrich’s economic reform agenda from the annual Arrangements Law.
Lawmakers vote 10-0 to ratify the Knesset Committee on Public Projects vote nixing Smotrich’s dairy reform, which generated significant opposition and protests from farmers. They also vote 9-0 in favor of the Knesset Finance Committee’s decision to remove his proposed tax on tobacco products as well as his proposed 1.5 percent property tax on vacant land.
The Arrangements Law, a key part of the annual budgetary legislative package, determines how funds will be disbursed and must be passed by the Knesset along with the budget.
Last night, Smotrich and Prime Minister Benjamin Netanyahu announced that the controversial reforms would be removed from the bill so the 2026 state budget can pass as fast as possible to help cover the cost of war with Iran.
The Times of Israel Community.