Israeli prime minister-designate Benjamin Netanyahu's Likud has signed a coalition agreement with ultra-Orthodox party Shas, Likud officials said, bringing the Netanyahu closer to a majority of supporters in the Knesset. Shas is now lined up alongside Yisrael Beitenu as partners in Netanyahu's prospective coalition. "Israel is set to face many challenges, both social and economic and on the diplomatic and security front, as a result it is only right to combine forces and form a broad government," Shas leader Eli Yishai told journalists after the deal was signed.
Likud legislator Gideon Saar, a member of Netanyahu's negotiating team, said the party would strive to broaden the coalition further in the coming days. "Now we have 53 lawmakers tied into coalition agreements headed by Benjamin Netanyahu, and in the coming days we will work to broaden the parliamentary base for support for his government," Saar said.
Netanyahu, who served as prime minister from 1996 to 1999, faces a 3 April deadline to complete the formation of a government after being given the task last month by president Shimon Peres. On Sunday, Peres extended the deadline for another two weeks.
As a next stage, Netanyahu is trying to recruit the center-left Labor Party, which will conditionally open coalition talks later on Monday. Labor leader Ehud Barak said he would ask his party's executive for a mandate to join Netanyahu's government when it meets on Tuesday. He faces strong opposition from party rivals who say joining the government would sound the death knell for Labor.