Israeli PM unveils revamped coalition govt. plans

PanARMENIAN.Net - Israeli Prime Minister Benjamin Netanyahu unveiled a revamped coalition government on Tuesday, forming a broad alliance with the chief opposition party that could free his hand to take action on peace with the Palestinians and decide whether to attack Iran.

In a stunning reversal, Netanyahu called off plans to hold early parliamentary elections and struck an agreement with the rival Kadima Party. Netanyahu now presides over a coalition with 94 seats in the 120-member parliament, one of the broadest governments in Israeli history.

Netanyahu and Kadima's leader, Shaul Mofaz, appeared together at a midday news conference, saying their alliance would bring much-needed stability to Israeli politics. They promised close cooperation on Iran and expressed hope that long-stalled peace talks with the Palestinians would resume, though signs of differences on the Palestinian issue quickly surfaced.

Netanyahu's current coalition, which had been remarkably stable since taking office in March 2009, has been driven by divisions in recent weeks over court orders to demolish two West Bank settlement outposts and to end draft exemptions for tens of thousands of ultra-Orthodox Jewish men.

Unable to bridge these differences, Netanyahu announced Monday he would push for early elections in September, more than a year ahead of schedule. But in an overnight deal that stunned the nation, he instead joined forces with Kadima, the largest party in parliament with 28 seats.

Netanyahu said the new coalition would focus on four areas: ending the contentious draft exemptions; reforming the volatile political system, in which governments rarely serve their full four-year terms; protecting the economy, and promoting a "responsible" peace process with the Palestinians.

Netanyahu also promised "serious and responsible" talks on Iran with Mofaz. Israel, like the West, thinks Iran is developing nuclear weapons, a charge Tehran denies.

News of the coalition deal stunned the nation, which had gone to sleep believing parliament was set to dissolve itself and clear the way for elections. The deal with Kadima was sealed in the middle of the night.