Israel Tests Netanyahu's Rule in Election

What is Netanyahu's election campaign focusing on?

During the election process, Netanyahu is highlighting security and wartime leadership. Referencing military operations conducted in Gaza following the 2023 Hamas attacks and the 12-day air campaign against Iranian nuclear facilities in 2025, he emphasizes that the country's foreign policy risks have increased. This approach is seen as a strategy to defend the continuation of his rule by directly addressing voters' security concerns.

How will the coalition balance in the Knesset take shape?

For Netanyahu to form his coalition within the 120 seats of the Knesset, he must reach a compromise with right-wing figures such as Itamar Ben-Gvir and Bezalel Smotrich. These two political leaders are known for their hardline stances on national security and religious issues, and Netanyahu reaching an agreement with them to ensure coalition balance is the key factor affecting government stability. If a compromise is not reached, it is possible for the current caretaker government to continue, a situation that could create volatility in international markets depending on the election results.

Election day has been set for Tuesday, October 27, 2026, and the political atmosphere is centered around maintaining 19 years in power. The Likud party is seeking to preserve its long-term vision of governance by putting Netanyahu forward. The finalization of the election result will determine the country's strategic direction in both domestic politics and foreign relations, particularly in light of regional stability following the fight against Hamas and tensions with Iran.

Israel's long-standing international isolation is also shaping voter choices. The election results will show how sustainable Netanyahu's leadership is and how coalition dynamics will be restructured. In this context, the emergence of a government capable of balancing both domestic security and foreign policy risks is of critical importance for regional stability and economic security.

This content is for information purposes only and does not constitute investment advice.