Rocket launcher
Rocket launcher made by the IMI. Photo by Moti Milrod
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Ofer Vaknin
Finance Minister Yuval Steinitz at a session of the Knesset Finance Committee. Photo by Ofer Vaknin

The Knesset Finance Committee approved a new NIS 74 million loan to the Israel Military Industries to pay workers' salaries.

The government has been paying the wages for the past year since the company ran into serious financial trouble. IMI asked for a NIS 135 million loan to pay for wages and raw materials to continue production, and the committee will vote on whether to approve the remaining amount next week.

The government has been trying to privatize IMI, or alternatively dismantle parts of it and liquidate the rest, for years.

MKs raised the suspicion that the Defense Ministry is using the privatization of IMI to increase its budget, and has been torpedoing the move as a result. The ministry denied the accusations.