Israel Cuts Reserve Forces by 10,000 Amid Growing Defense Budget Deficit

Israel's military announced a reduction of its active reserve personnel from roughly 60,000 to about 50,000, cutting approximately 10,000 soldiers. The move is intended to address a massive defense budget shortfall estimated in the tens of billions of shekels, stemming from prolonged operations in Gaza and heightened regional tensions.

The cuts will be implemented in phases, with some units slated to lose half their reserves by the end of July. Officials cite a decline in operational intensity on several fronts and ongoing disputes between the finance and defense ministries over defense spending. The reduction is expected to alleviate fiscal pressure but may affect national productivity as reservists are withdrawn from civilian jobs.

The decision reflects Israel's broader challenge of balancing sustained military commitments with fiscal stability after nearly three years of continuous conflict.