Israeli army faces budget shortfall undermining military readiness, chief of staff says

“Unfortunately, these days we are also facing a challenge regarding the IDF’s budget,” Zamir said during a multi-front situational assessment, according to an army statement.

“At a time when the IDF and its personnel are operating on all fronts, we must deal with a lack of funds. Such a situation harms the IDF’s readiness,” he said.

The remarks come amid a dispute between Israel’s Defense and Finance ministries over additional military funding.

Israeli media reported this month that the army faces a budget shortfall of around 40 billion shekels ($12.3 billion), largely due to continued operational expenses and reserve-duty costs.

The funding dispute has also affected military procurement programs, including planned acquisitions of fighter jets and munitions.

Israel’s 2026 defense budget was initially set at roughly 143 billion shekels, including funding for military operations, according to the Knesset.