Monday, July 24, 2023

Identity crisis

Israel's identity crisis is in the spotlight ahead of parliamentary vote

Israel's Parliament is due today to pass a bill curbing the power of courts to oversee political decisions, a move that has driven hundreds of thousands into the street and exposed an existential fault line through society.

The government measure removes from judges the ability to void an appointment or decision due to it being "unreasonable," a broad category that Prime Minister Benjamin Netanyahu and his religious, right-wing supporters consider a license to legislate from the bench.

Key Reading: 
Israel Prepares for Fateful Vote as Netanyahu Leaves Hospital
Israeli CEOs Ditch the C-Suite to Lead Anti-Government Protest
Biden Urges Netanyahu to Delay Vote on Judicial Reform Bill
Ultra-Orthodox Move From Margins to Center of Israeli Politics
Israel's First Female Attorney General at Center of Judicial Storm

Israel's politics have increasingly emphasized Jewish nationalism while the judiciary remains in the hands of those who lean more toward liberal universal principles. So opponents fear the legislation is the beginning of the end of democracy and that minorities and non-Jews won't be properly protected.

The fact that Netanyahu's administration includes advocates whose anti-Arab views were once banned, and that he is under indictment for bribery and fraud, adds to critics' sense that this is not a technical adjustment but a power grab.

President Isaac Herzog, who holds a largely ceremonial post, has been shuttling between government and opposition leaders in a last-ditch effort to soften the bill, which the government has the votes to pass.

The opposition is led by establishment figures in business, law and the military, including its high-tech sector that has created previously unimaginable wealth in a once-poor country.

Supporters of the bill say it's time that their political will — more religion in the public square, more Palestinian land in the West Bank annexed — triumphed without being stymied by unelected judges.

It's a debate that has been brewing for some time, with the country's deepening polarization seen in its inability to form stable coalitions resulting in repeat elections in recent years.

Markets, investments and the shekel have been hit by the controversy as Israel's establishment figures warn that populist forces will threaten the entrepreneurial business culture. The government says democracy will be strengthened.

Either way, Israel is heading into unchartered territory. 

Protesters demonstrate for the 29th straight week against the judicial reform bill on Saturday in Tel Aviv. Photographer: Dar Yaskil/Getty Images

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Global Headlines

A late swing in the final days of Spain's election campaign allowed Prime Minister Pedro Sanchez to deny his right-wing opponents a majority in parliament but leaves the country facing months of instability without a fully functioning government. Sanchez and People's Party leader Alberto Nunez Feijoo both claimed victory, but it may well require a repeat election later this year before either can take office. 

A record temperature of 50C (122F) was forecast for the Italian island of Sardinia today, as wildfires engulfed Greece and forced the evacuation of thousands of holidaymakers over the weekend. The extreme weather ravaging the Mediterranean is a sign of the impact of climate change now being witnessed across the Northern Hemisphere summer, with temperature records being shattered from the US to China.

Heat-related illnesses have spiked as the US bakes in a record-hot summer, forcing some hospitals to call in more staff to treat a surge in patients. The proportion of emergency-room visits linked to heat skyrocketed in Texas and surrounding states starting in June, according to Centers for Disease Control and Prevention data.

The Communist Party's Politburo, China's top decision-making body led by President Xi Jinping, may fail to deliver big-bang stimulus for the weakening economy when it gathers as soon as this week. While senior officials typically don't announce specific measures at these meetings, the policy tone and language of the statement will provide important clues on how Beijing will respond in coming months.

Best of Bloomberg Opinion

A new Turkish fighter pilot television drama that local media have dubbed a homegrown Top Gun isn't just channeling Tom Cruise's heroics in the cockpit. Like the 1986 American blockbuster, Free Sky was made in collaboration with real air force pilots and equipment used by the Turkish military. It's an example of the state broadcaster's bid to showcase Ankara's expanding military footprint and arms exports as it flexes its diplomatic muscles from Syria and Libya to Ukraine.

Explainers You Can Use

US Latinos have been loosening their loyalty to the Democratic Party. As Alicia Diaz writes, with a tight presidential race in 2024 and another close battle for control of Congress looking likely, Latino voters — one of the fastest-growing blocs at over 34 million — are increasingly viewed as a potentially decisive swing group whose votes are up for grabs.

Tune in to Bloomberg TV's Balance of Power at 5pm to 6pm ET weekdays with Washington correspondents Annmarie Hordern and Joe Mathieu. You can watch and listen on Bloomberg channels and online here.

News to Note 

  • Russian forces intercepted two Ukrainian drones over Moscow, the Defense Ministry said in a Telegram statement today.
  • The United Nations Command has started talks with North Korea's military on the status of a US soldier who crossed the border last week, a top officer told reporters in Seoul.
  • Public support for Japanese Prime Minister Fumio Kishida fell to its lowest since he took office, with rising prices and mistrust over the rollout of a national ID card helping to push down his rating.
  • Italian Prime Minister Giorgia Meloni could notify the US as soon as this week about her plan to pull Italy out of China's Belt and Road Initiative, sources say.
  • The mayor of one of Ecuador's main Pacific ports was assassinated a month ahead of presidential elections as skyrocketing crime overwhelms the authorities.

Thanks to the 41 people who answered our Friday quiz and congratulations to Rebecca Rich, who was the first to name China as the country whose foreign minister, considered a rising political star, hasn't been seen in public for more than three weeks.

And finally ... Ukraine needs its women refugees to come home, and soon. As Marc Champion and Daryna Krasnolutska report, almost a year and a half into Russia's faltering invasion of Ukraine, the cost of resistance has been devastating. Failure to persuade any of the 2.8 million working-age women to return would cost Ukraine 10% of its annual pre-war gross domestic product in lost labor and demand, according to Bloomberg Economics. That's $20 billion a year in a worst-case scenario, easily outweighing the European Union's proposed four-year aid package for the country.

Ukrainian refugees arrive at the Przemysl train station in Poland on March 1, 2022. Photographer: Alejandro Martínez Vélez/EURPRARC/Getty Images

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