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Last update - 16:46 30/10/2008
Higher education crisis ends as Olmert orders NIS 515 million budget hike
By Ofri Ilani, Haaretz Correspondent, and Haaretz Service
Tags: Israel News, Finance ministry 

The ongoing higher education funding crisis was resolved on Thursday after Prime Minister Ehud Olmert ordered to transfer NIS 515 million to the universities, ahead of the academic year which is scheduled to start on Sunday.

On Wednesday, a meeting between university representatives and Treasury officials broke down. The lecturers said that without additional funds they were unable to begin the academic year, citing the slashing of more than 20 percent of universities' budgets over the past five years.

The Treasury, for its part, claimed that it was prepared to transfer NIS 300 million, provided the funds be allotted according to pre-set criteria in accordance with the recommendations of the Shochat Committee on higher education.
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At the start of Thursday's meeting, Olmert told the delegates that he has "been following the matter closely for some time, but I thought I should not intervene in the negotiations between the two parties."

"I called in this meeting in order to make a decision," he said. "I understand the issues that are on the table, but the academic year must start on Sunday."

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