On 8 June, Mr. Shamir presented his government to the Knesset and sought a vote of confidence. The government was based on a coalition between Likud, Shas, Agudat Israel, Moledet, Tsomet and Techiya. It won a 62 vote majority in the Knesset. Mr. David Levy was appointed vice premier and minister for foreign affairs. Moshe Arens once again became defense minister and Yitzhak Modai took over the finance ministry. In the government's guidelines, Israel committed itself to pursue the 14 May 1989 peace initiative based on the Camp David Accords. It called for continued settlement through the land. It stressed that United Jerusalem will remain Israel's capital. Israel will not negotiate with the PLO and will oppose the creation of a Palestinian state in the areas. Text of the guidelines follow:
At the centre of the activities of the national government being presented to the Knesset will stand the following programmes:
1. (a) In recognition of a shared fate and of the common struggle for the existence of the Jewish people in Eretz Yisrael and in the Diaspora, and in order to realize the central goal of the State of Israel - the ingathering of the Jewish people to its land - the government will place immigration and absorption foremost among its national objectives.
(b) The government will act to accelerate immigration from all lands and will act to save persecuted Jews.
(c) The government will act to create the social, economic and spiritual conditions for the speedy and successful absorption of the immigrants in their homeland.
2. The eternal right of the Jewish people to Eretz Yisrael is not subject to question,
and is intertwined with its right to security and peace.
3. The central political goals of the government in this period will be: ensuring the independence and sovereignty of the state, strengthening security, preventing war and achieving peace with all its neighbours. To these ends, the government will act as follows:
(a) The government will be vigilant in increasing the strength of the IDF, its power of deterrence and its fitness to withstand threats from the states of the region, including threats of unconventional missile weaponry.
(b) The government will act forcefully against terrorism, from all sources. The IDF and other security forces will act emphatically and with perseverance to ensure peace for all residents, to uproot the phenomenon of violence and disturbances and to generate calm throughout the country.
(c) The government will place the desire for peace at the top of its concerns and will not spare any effort in the advancement of peace.
(d) The government will act for the continuation of the peace process along the lines of the framework for peace in the Middle East, agreed upon at Camp David, and of its peace initiative of May 5, 1989, in its entirety.
(e) Israel will encourage representatives of the Arabs of Judea, Samaria and Gaza to take part in the peace process.
(f) Israel will oppose the establishment of another Palestinian state in the Gaza Strip and in the territory between Israel and the Jordan River.
(g) Israel will not negotiate with the PLO, directly or indirectly.
(h) Israel will call upon all the Arab states to enter into peace negotiations in order to turn over a new leaf in the region, so that it may prosper and flourish.
(i) The government will act for the furtherance and strengthening of bilateral relations with Egypt in accordance with the peace treaty between the two states. The government will call upon Egypt to fulfil its obligations as set forth in the peace treaty with Israel, including its commitments laid out in the Camp David accords, and to bestow upon the peace treaty meaning and content as per its clauses, spirit and the intentions of its signatories.
(j)(1) The government will act to foster relations of friendship and mutual ties between Israel and all countries which seek peace.
(2) The government will continue to maintain the relations of friendship and understanding which exist between the United States and Israel and will seek to deepen them in all areas, including strategic cooperation.
(3) The government will continue the movement of renewing diplomatic relations with the countries of Eastern Europe and other regions, especially with the Soviet Union, and will seek to establish diplomatic relations with China.
(k) United Jerusalem, Israel's eternal capital, is one indivisible city under Israeli sovereignty; members of all faiths will always be ensured freedom of worship and access to their holy sites.
Jerusalem will not be included in the framework of autonomy which will be granted to the Arab residents of Judea, Samaria and Gaza Strip, and its Arab residents will not participate, either as voters or as candidates, in elections for the establishment of representation of the residents of Judea, Samaria and the Gaza Strip.
4. Settlement in all parts of Eretz Yisrael is the right of our people and an integral
part of national security; the government will act to strengthen settlement, to
broaden and develop it.
5. In the wake of rising expressions of antisemitism in various countries of the world, the government will act, in concert with enlightened governments and
with Jewish communities and other bodies, in the continuing struggle against
these phenomena.
6. In the area of socio-economic policy, the government will act:
(a) To maintain the stability of the economy and further reduce inflation.
(b) For lasting economic expansion and a reduction of unemployment in order to achieve full employment.
(c) To lessen the economic dependence of the state by reducing the deficit in the balance of payments.
(d) To change the structure of the economy in order to build it on a competitive base and to lessen the role of the public sector and government involvement.
(e) To ensure private enterprise, equal opportunity and the promotion and welfare of the individual while safeguarding his rights and freedoms.
(f) For the encouragement, strengthening and advancement of the development towns and regions of the Galilee, Negev, Judea, Samaria and the rest of Eretz Yisrael so that they may fulfil their important national role.
(g) For the just distribution of the [national] burden among the various sectors of the public, the improvement of the situation of the weaker classes and the proper functioning of the education, health, housing and other welfare services.
(h) For a solution to the severe plight of the mentally retarded, children under 14 in boarding institutions and juvenile delinquents in jails.
7. In order to achieve these goals, the government will act:
(a) For cuts in public consumption while ensuring the required resources for the national programme, most importantly immigrant absorption.
(b) To achieve socio-economic agreement with the Histadrut, employers and other factors in the economy.
(c) To encourage national saving in its various forms.
(d) To continue reform in the money market, for its advancement and development, while reducing the role of the government therein.
(e) To continue tax reform in order to encourage production, to intensify collection and the just distribution of the burden of taxation.
(f) To privatize government-owned corporations.
(g) To encourage the increase of efficiency and production.
8. The government will act:
(a) For the promotion of the education system and the development of basic and applied sciences and of international scientific cooperation.
(b) For the development and expansion of the road, communications and technological infrastructures.
(c) For the establishment of a policy which will make adequate housing and appropriate employment possible for new immigrants, young couples and families with many children.
(d) For the broadening and intensification of the programme of Project [neighbourhood] Renewal.
(e) For the implementation of reform, including in the civil service, with special emphasis on the role of the public service in improving service to the citizen, in accordance with government decisions regarding the implementation of the report of the Kovarsky Commission.
(f) For protection of the environment.
9. The government will act to prevent the emigration of Jews from the country and to return them -to their homeland.
10. The government will view the advancement of the status of women as a socioeconomic goal. The status of women vis-a-vis salaries and employment win be equated to that of men, and women will be integrated into the senior levels of the administration.
11. The government will continue to implement acts concerning equal rights and obligations for all residents, regardless of religion, race, nationality, gender or ethnic association.
12. The government will act to continue the development of Druse and Circassian villages, in accordance with government decision #373 of April 21, 1987, including providing the necessary resources.
13. The government will strive to continue the development of the Arab sector in all fields relating to the development of infrastructure and of building and outline plans, as well as in the area of employment. The same win be done for their absorption in the various government ministries. The necessary resources will be provided for this purpose.
14. The government will act for the participation of all public bodies in the continuing and energetic struggle against road accidents.
15. The government will continue to battle the phenomenon of dangerous drugs, in all possible ways.
16. The government will act to implement reform in local government.
17. (a) The government will act to uproot crime and violence and to inculcate a recognition of the supremacy of the rule of law.
(b) The ability of the policy, the prosecutor and the courts to fight crime in all its manifestations will be increased.
18. With a view toward strengthening democracy in the state, increasing both the capability of the government to act and the connection between the voter and his representative, the possibility of changing the system of government and the electoral system will be examined.
19. (a) The unity of the nation and proper social conditions require the fostering of mutual tolerance, the bringing together of the segments of the nation and freedom of conscience and religion. The government win prevent all religious and anti-religious coercion of all types; public religious needs will be guaranteed by the state and, on a basis of equality, religious education for all children whose parents so desire will be ensured.
(b) Freedom of religion and conscience, including providing for religious needs, will be ensured for all ethnic groups.
20. The religious status quo in the state will be strictly preserved.
21. Education in Israel will be based on the eternal values of our nation: the Tora of Israel, love of the people of Israel and love of the homeland.
22. The government will foster an attitude of respect toward the heritage of Israel and will strengthen the ties between Israel and the Diaspora.
23. The government will honour all the international commitments of the State of Israel.