Areas of responsibility

• Preparing the state budget : Formulating the budget, submitting it for the approval of the cabinet and the Knesset, implementing the government’s state budget policy, providing support for the government ministries during the budget year and making changes and adjustments in the budget in the course of the year.
• Monitoring the actual budget implementation and making changes to the budget during the year.
• Formulating and implementing a macro-economic policy : Promoting economic reforms and structural changes in various sectors of the economy, while integrating the budget as a pivotal tool in the policy; submitting the reforms for the approval of the decision makers; and advising the minister of finance and the cabinet on the matter.
• Outlining fiscal policy : The policy adopted by the government for the purpose of affecting activity in the economy.
• Implementing structural reforms : Identifying failures in the structure of the markets and formulating suitable solutions.
• Initiating actions for savings, enhancing competition, streamlining and properly allocating resources in all the government ministries and the various sectors of the economy : Proposals for structural changes in the entities and sectors that also require legislative changes at times.
• Handling the economic and budgetary aspects in the government’s decision making process : In government bills, private bills and everything pertaining to government policy.

Objectives of the economic policy

• A responsible fiscal policy.
• Enhancing investments in human and physical capital.
• Strengthening the periphery.
• Increasing employment and participation rates, and strengthening weak populations.
• Encouraging competition and improving productivity.

• Streamlining the public service and improving the services provided to the citizen.
• Improving and streamlining the regulatory system.

This objective has become the top priority, with equal importance ascribed to decreasing the gaps and encouraging growth.

As part of the budget proposal, many structural changes are aimed at achieving that goal.

Examples can be found in the fields of education (a differential standard in elementary education and in high schools) and employment (improvement in the vocational training system); the government’s policy on foreign workers; national deployment of "Orot Letaasuka" (the Israeli Wisconsin Plan). The plan for the periphery is also presented, which is designed to provide a broad and comprehensive response to the problems endemic to the periphery in the State of Israel.

Examples of projects led by the department

• Privatization.
• Development plans  Israel Railroads, the Israel National Roads Company.
• Plans to transfer from benefits to employment and "Orot Letaasuka" (the Israeli Wisconsin Plan).
• Shortening compulsory service in the IDF.
• Pension reform.
• Increasing competition in the communications market  cell phone number portability, domestic calls.
• Turning the Postal Authority into a company and opening the market to competition.