Israel's parties - Likud and Blue and White - have agreed to hold negotiations over the state budget until the end of the month, which should permit preventing the dissolution of the Israeli parliament. The parties are now likely to speedily advance a bill that will prevent the automatic dissolution of parliament that will come into effect on midnight Tuesday.

"Tomorrow, a bill will be consensually put forward, outlining a schedule according to which a 2020 state budget will be passed by December 31, 2020, and a 2021 state budget - by January 5, 2021," the Blue and White party said in a Sunday statement obtained by Sputnik. If the budget is not agreed by the set date, the Knesset will automatically dissolve and early elections will be held on March 23, 2021.

The current coalition government was sworn in May, closing the longest political deadlock in Israel's history that led to three inconclusive elections in less than a year. Under the deal, Prime Minister Benjamin Netanyahu is set to lead the unity government for 18 months before handing the office over to Alternate Prime Minister Benny Gantz in November 2021.

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