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Israel

Netanyahu left Israel stronger

Netanyahu took the Clinton administration’s adage, 'it’s the economy, stupid', and projected it onto foreign policy

June 17, 2021 11:12
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4 min read

Benjamin Netanyahu is accused of being unprincipled. If it is meant in the moral sense, then you can make that argument, but if taken to mean “without principles”, then this is so wide of the mark as to miss his greatest strength — the ability to strip back complex issues to first principles. This clarity of thought, and ruthless ability to exploit it, does not necessarily justify his policies. But they do explain his successes. Nowhere is this truer that in the field of foreign policy.

Netanyahu, steeped in American politics, took the Clinton administration’s adage, “it’s the economy, stupid”, and projected it onto foreign policy. He understood that in a tough neighbourhood, Israel would have to be the toughest, smartest and most tech-savvy guy on the block. That would need enormous sums of money and that would require a strong economy, support for cutting-edge technology and state-of-the-art kit for the military and intelligence services.

The economic innovations he helped to introduce as finance minister from 2003 to 2005 contributed to a sharp rise in GDP, although his brand of ‘neo-liberal’ politics also hit the poorest. The ‘Start Up Nation’ has become a world leader in many fields, which in turn has helped make it not only the toughest guy on the block but one which some neighbours want to make friends with.

In 2017 he said: “You also need to open markets and the way to do this is to provide other countries with things they need.” China, India, Brazil, Hungary, Russia, Azerbaijan and a host of Latin American and African countries were among those subsequently forging closer relations with Israel amid multiple trade deals involving security expertise, cyber technology, and water efficiency in agriculture.