In brief
Israel’s election results show Netanyahu’s right‑wing coalition merely 53 seats, short of the 61 needed, with the opposition at 48. Arab parties jointly win 19 seats, a record. A high 77.7% voter turnout and a looming coalition negotiation creates uncertainty that has already jolted the market and the currency.
On October 31, 2026, Israel’s election counting showed no party or bloc with an outright majority. Prime Minister Benjamin Netanyahu’s right‑wing coalition, centered on his Likud party, is projected to win 53 seats in the 120‑member Knesset, down 15 from the previous parliament.
The opposition coalition led by former military chief Gadi Eisenkot holds 48 seats. Likud alone is expected to secure 26 seats, the most of any single party. The two biggest blocs remain 13 seats short of the 61 needed for an outright majority.
Arab parties — the Joint List and Ra’am — together win 19 seats, a new record that replaces the 15 seats won in 2020. The Joint List is projected to take 12 seats and Ra’am 7.
Voter turnout reached 77.7 percent, the highest level recorded since 1999, with Palestinian citizens of Israel voting at about 80 percent.
Because neither side has a majority, coalition negotiations could last for months. President Isaac Herzog will consult party leaders and give the top candidate a 28‑day window to form a government, with a possible 14‑day extension.
Market uncertainty over the post‑election government has already hit the Tel Aviv Stock Exchange. The TA‑35 index fell 1.81 percent; the TA‑125 fell 2.46 percent, while the TA‑90 and TA‑Banks‑5 indices plunged 4.47 and 4.85 percent respectively.
Senior analyst Gad Lior of Yedioth Ahronoth said the sell‑off was driven by political uncertainty and worries that a new Netanyahu‑led administration may again struggle with the high cost of living and a possible war with Iran.
Financial sector chief Joseph Freiman added that the shekel has weakened against the dollar, falling 1.62 percent to 3.128 shekels per U.S. dollar, after earlier gains reversed by the election results.
Ra’am leader Mansour Abbas said, "With the numbers we have now, there is no government." He added that his party hopes the anti‑Netanyahu bloc will secure the 61 seats required to form a government.
Former ambassador Alon Pinkas warned that forming a government may be difficult for parties like Eisenkot’s, because they refused to co‑operate with Arab parties during the campaign. He said, "There’s a price to pay … the Arabs can’t be kept outside and can only be considered when you need their votes."
The final vote count is expected to complete by Thursday, with official results to be published on 4 November. The way the Arab parties are used in coalition talks will likely shape Israel’s policy direction and security stance for years to come.
