Minister May Golan today presented a government proposal that cuts 3 billion shekels from Arab education, transportation, poverty-reduction programs, and housing, in order to fund the recruitment of 510 Shabak security agents, 1,454 police officers, and 196 prison guards — a step described as a breach of Israel’s official commitments to the Organisation for Economic Co-operation and Development (OECD).

The government intends to drastically reduce budgets allocated to promoting the integration of Arab citizens into the economy and labor market. This move comes despite repeated warnings issued by international organization experts since 2010, stressing that the lack of genuine inclusion of Arabs and Haredim will undermine Israel’s economic growth and keep it trapped in a cycle of deep productivity gaps.

The proposal, submitted by Minister May Golan ahead of this week’s budget approval session, imposes sweeping cuts on government ministries , including employment, vocational training, innovation, and education programs originally developed as part of Israel’s commitments to the international community when joining the OECD. The proposal was not coordinated with the Ministry of Finance, but is expected to pass amid estimates that the Finance Minister will not oppose it, making the erosion of these budgets — and consequently these international obligations — a matter of time.

The proposed cuts harm economic and social sectors already fragile within Arab society. The Ministry of Labor, for example, will see a reduction of 186.9 million shekels; the Ministry of Innovation, Science and Technology will lose 42.8 million; and the Ministry of Economy around 66 million shekels. Despite OECD warnings that weak public transportation is the key barrier preventing Arab women from entering the workforce, 93.6 million shekels will be cut from budgets designated for Arab communities in the Ministry of Transportation — in addition to earlier cuts imposed by Minister Miri Regev since taking office. Even the National Road Safety Authority will lose 9.2 million shekels from its allocated funding for the Arab community, despite the high rate of fatalities among Arab citizens in traffic accidents.

The most severe impact appears in the education sector, where the Ministry of Education is expected to face an unprecedented cut of 388.9 million shekels. This will exacerbate dropout rates, weaken academic and career guidance, and further limit Arab youths’ access to higher education and integration into the labor market. Programs aimed at closing gaps between Arab and Jewish schools — especially at the high school level — will be among the first victims. Alongside education, social welfare budgets will also be reduced by 49.3 million shekels, deepening the social challenges facing Arab society, particularly violence and crime.

The situation is no less alarming in housing and planning. Despite the worsening housing crisis in Arab communities in recent years, Minister May Golan prefers funding home demolitions rather than developing housing solutions. The Planning Directorate faces a cut of 78.2 million shekels from funds intended for the Arab community. The Ministry of Construction and Housing will lose 176.2 million shekels, and the Water and Sewage Authority will lose 91.2 million — despite severe wastewater infrastructure problems in Arab towns that lead to groundwater contamination, environmental hazards, and public health risks, requiring greater funding rather than cuts. The Ministry of Environmental Protection will also see a reduction of 61.6 million shekels.

Additional ministries will face cuts to their Arab-community allocations, including:

• Ministry of Health — 17.2 million shekels

• Ministry of Justice — 5.7 million

• Ministry of Culture and Sports — 84.4 million

• National Digital Administration — 5.1 million

• Ministry of Tourism — 2.4 million

• Ministry of Energy — 8.5 million

• Ministry of Agriculture — 30.6 million

• Fire and Rescue Authority — 20.4 million

• Ministry for Social Equality — 69.5 million

• Ministry of Interior — 66.8 million

• Ministry for the Negev, Galilee, and National Resilience — 63 million shekels

Jafar Farah, Director of the Mossawa Center, warns that cuts to employment, transportation, and housing budgets will violate the rights of Arab citizens, deepen discrimination, and obstruct inclusive economic development in the country. He stresses — in a warning to ministries and policymakers — that one-fifth of the country’s population serves as a central economic engine, and any harm to industrial zones, vocational training programs, or planning and development of housing solutions will fuel internal tensions and undermine the government’s ability to repay loans obtained from international markets.

The Mossawa Center calls on Knesset members and relevant ministers to reject the proposal, which harms development budgets for the Arab community.