The Israeli Army Faces Accusations of Squandering Billions Without Oversight
Local Economy

The Israeli Army Faces Accusations of Squandering Billions Without Oversight

SadaNews - The director general of the Israeli occupation's Ministry of Finance, Ilan Rom, launched a public attack on the Ministry of the Occupation Army, accusing it of "irresponsible spending" and exceeding financial limits.

In his speech at the General Accountant's conference in Jerusalem, Rom stated: "Defense spending must have a ceiling, and sometimes it seems that this ceiling is so high that it is invisible. When there is no ceiling, there is no efficiency and no cost-cutting," according to what was reported by Globes newspaper.

Rom, who previously held a senior position in the Mossad, explained that the Israeli economy has provided the needed support for the military system, but he added that the time has come to change the approach.

He pointed out that since the outbreak of war, "the defense budget has expanded significantly. This is a huge amount that Israeli citizens need for services, infrastructure, and growth."

Rom based his call for restructuring spending on the changing security landscape after what he described as the end of the Iranian threat and the threat of Hezbollah, the need to defeat the Islamic Resistance Movement (Hamas), and the situation in Syria.

One of the main points Rom focused on was the way the army manages reserve service days. He said: "The economic management of reserve service days has been unchecked and often deviates from sound management rules."

He added with a critical tone: "Distributing reserve days to anyone who wants them as if they were legal tender, and without serious study and responsibility, has repercussions on the entire economy."

Increasing Deficit and Financial Pressures

Rom's remarks came as the Knesset Finance Committee discusses the update of the 2025 budget, which includes an increase in government spending of 31 billion shekels (about 9.3 billion dollars), and raising the fiscal deficit to 5.2% of GDP, to meet the costs of the ongoing war.

However, Rom warned that this is just the beginning, as the additional amount is intended to cover military operations that have already ended, while the ongoing operation for controlling Gaza city has not yet been included in the review, adding that this "could impose an additional breach of the spending ceiling by the end of the year."

Trust Crisis

Globes report clarified that these statements reflect a growing trust crisis between the Ministry of Finance and the military establishment, amidst the widening gap between the need for security and the increasing calls to reduce the deficit and control spending.

Despite the official rhetoric of "decisive victory," domestic criticisms reveal the fragility of the economic situation and the erosion of the government's ability to continue funding the war without affecting civilian sectors.

Source: Israeli Press