P.M Bennett and Finance Minister Lieberman announced a war on regulation and bureaucracy

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by Ifi Reporter Category:Government Jul 6, 2021

Prime Minister Naftali Bennett, Finance Minister Avigdor Lieberman, Justice Minister Gideon Saar, and Deputy Prime Minister Avir Kara held a press conference in which they presented a "national plan to reduce regulation and bureaucracy." The trials, already six months ago, during the previous government term.
Prime Minister Bennett said that prices in Israel are very high and the government headed by him is not ready to accept the reality. "The truth must be told, the real cause of business awkwardness and the cost of living is the government itself. Everything is going to change, the government should serve the citizens and not bring the citizens to pursue it. Our goal is clear and our test is simple - to significantly reduce bureaucracy on businesses in Israel." Said Bennett.

"The plan addresses each of the key factors that require change. First of all regulatory control - every minister comes and is full of good intentions and wants to fix the environment, but has no 'impact' on business. Second, go for cumulative regulation and lower regulation - not enough "A third thing is to fix existing regulators and the last thing is to build a uniform system that the entire government will be aware of for business and the economic impact of our actions."
Finance Minister Lieberman continued the prime minister's remarks, saying that "if in 1985 we suffered from inflation in prices and thus the Budget Fundamentals Law was born, in 2020 and 2021 we suffer from inflation in regulation and therefore here too we must reach and enact the Fundamentals Regulatory Law. It will make us discuss decoration that fights in front of windmills, we need to change the rules of the game. "
According to the Minister of Finance, "Currently, there are about 209 different regulators in the State of Israel. Sometimes several sit in the same ministry. Most of the regulation is not transparent, is not made public and it is not known how many regulatory decisions there are in total. OECD that killed Israel in everything related to regulation. It was determined that there is an out-of-sync and controlled regulation in Israel and that instead of managing the risks, the regulator escapes responsibility and leads to a situation of zero risks - something absurd that prevents the development of the economy.
"The same report stated that if we bring the level of regulation in Israel to the OECD average, it will lead to an increase in the economy of NIS 75 billion in the next decade. "This means that we will strengthen our growth by more than 0.5% per year and it will also improve our situation in the area of ​​productivity, cost of living and most importantly - certainty for the business sector regarding potential investments," said Lieberman.
Lieberman went on to say that "the inter-ministerial team established in December 2020 had two main conclusions: enacting a regulatory framework law that would regulate the processes regarding the formulation and collection of regulation in Israel, and central control of regulation in accordance with the law that will allow regulation." We will conduct policy and implementation in the field of the new regulation and every decision in the field will be carefully examined.
"Israeli governments have always excelled in writing reports and much less in implementing the same reports they commissioned themselves.
The finance minister added that "what needs to be understood is that regulation harms small businesses. Large multinational companies do not ask anyone. Anyone who owns an Apple device can not make a payment except through an Apple app - it is to force a person and they caught 20 like that. "% Of the market. Do not contact the Ministry of Finance or the Ministry of Justice, just state a fact - all other applications should connect to Apple. Who is it hurting? In the hairdresser, ice cream parlor and small businesses."
According to the report compiled by the "Smart Regulation Team", which operates by virtue of a 2018 government decision, "one of the main channels of action for overcoming the economic crisis and accelerating economic growth is embedded in promoting smart regulation policies and reducing the excess regulatory burden."
The authors of the report explain that the crisis in which Israel found itself following the corona plague revealed the importance of regulation for the functioning of the state, but at the same time also sharpened the basic problems that exist in the economy.
The comparative survey showed that Israel is behind the most advanced countries in the world when it comes to managing the field of regulation, and the main recommendations of the team are: enacting a regulatory framework law that will regulate the internal government process and establishing a new authority The regulatory system and develop its capacity, and constitute a government professional factor in the field of regulation. "
The President of the Manufacturers 'Association and the Chairman of the Presidents of Employers and Businesses, Dr. Ron Tomer, stated following the publication of the regulatory report that "this is a critical report that came after years of pressure exerted by the Manufacturers' Association on the previous government. Addressing one of the biggest barriers to the Israeli economy and economy - the heavy and endless regulation that harms doing business in Israel. "It's time to dump her and move on."

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