The Israeli cabinet worked in a marathon session, through the night and approved the budget. I am sure that at 4AM in the morning the members of the cabinet were able to focus on every little details of the budget. Under the deal, the defense budget was not cut significantly, and many of the least popular decrees were removed. The budget did call for an increase in "Value Added Tax", and a VAT tax on fruits and vegetables for the first time. The head of Finance Ministries Division of Budget resigned over the budget, which he opposed. The Shas ministers were the only ones to vote against the budget in the cabinet. The news broadcasts today all ran stories on the zig zags of Netanyhu over the budget. The process clearly has not enhanced his status.