Finance Minister’s jibe against Saudi Arabia over Palestinian-state condition creates diplomatic and coalition ripples
Israeli Finance Minister Bezalel Smotrich has stirred uproar by declaring that if Saudi Arabia insists on a Palestinian state as the price for normalising ties with Israel, then the kingdom can “keep riding camels in the desert,” he said at a Jerusalem conference on 23 October 2025. The remark triggered sharp criticism domestically and abroad, highlighted his party’s hard-line stance and exposed tensions within Prime Minister Benjamin Netanyahu’s fragile coalition.
Smotrich followed the jibe with a video apology, saying his comment was “unfortunate” and he regretted any offence caused.
Nonetheless, he reaffirmed his position that Israel will never accept an independent Palestinian state, insisting that sovereignty across all its borders is non-negotiable.
The diplomatic fallout immediately emerged: Riyadh signalled it would pause its normalisation momentum with Israel, citing the comment as evidence of “regime misalignment.” The exchange comes at a delicate moment as Washington, under the guidance of
Donald Trump’s administration, intensifies efforts to expand the Abraham Accords by securing a Saudi–Israeli deal—an initiative that has long hinged on Saudi demands for tangible progress toward a Palestinian state.
Within Israel’s political arena, the gaffe underscored Smotrich’s strategic posturing ahead of an anticipated October 2026 election.
The leader of the far-right Religious Zionism Party faces polls showing his faction risks falling below the 3.25 percent electoral threshold unless he boosts his appeal.
Analysts interpret his remarks as an attempt to galvanise nationalist voters, differentiate himself from rival Itamar Ben Gvir and enhance leverage over Netanyahu.
A coalition insider observed: “Smotrich knows ‘Bibi’ needs him.
He can embarrass Netanyahu and face no consequences.”
Despite public fury from opposition figures who argued the minister was harming Israel’s diplomacy, Netanyahu has refrained from disciplining Smotrich, reportedly fearing collapse of his governing alliance should he act.
The episode reveals the precarious balance between advancing foreign-policy goals and accommodating hard-line domestic partners.
As Crown Prince Mohammed bin Salman prepares to visit the White House later this month, the comment has added a fresh variable to talks that hinge on regional security, economic cooperation and the Israeli-Palestinian issue.
For now, Smotrich’s salvo may have helped him politically at home—even as it complicates Israel’s diplomatic ambitions abroad.