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Netanyahu pencils in hardliner as foreign minister

THE right-wing Likud party headed by Israeli prime minister designate Benjamin Netanyahu has initialled a coalition agreement with an anti-Arab party, paving the way for its leader to become foreign minister.

The deal with the Yisrael Beytenu party is the first struck by Mr Netanyahu in his bid to form a parliamentary majority following the right's victory in the 10 February elections.

Mr Netanyahu agreed Avigdor Lieberman, the Yisrael Beytenu leader, would receive the foreign affairs portfolio. The emerging pro-settler, ultra-nationalist government is alarming Israeli peace treaty partner Egypt and raising concern in the EU of heightened settlement activity in the West Bank that will undermine prospects for a two-state solution to the Israeli-Palestinian conflict.

A spokesman for Yisrael Beytenu yesterday sought to allay fears about Mr Lieberman, whose election campaign stoked hatred against Israel's Arab minority and who last year said Egyptian president Hosni Mubarak should "go to hell".

Mr Lieberman has served as transport minister and infrastructure minister under Likud-led governments and was for nearly two years minister for strategic threats under outgoing Kadima prime minister Ehud Olmert.

"He has been a minister on a number of other occasions and nothing remarkable has happened," said the spokesman.

Hebrew University political scientist Avraham Diskin added: "I'm far from agreeing with some of his ideas but he is an efficient person, he is not stupid and I expect him to be more moderate than in the past."


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