Israel’s military is preparing to release around 10,000 reserve soldiers by the end of July due to a severe budget deficit, according to reports published Sunday in local media. Currently, about 60,000 reservists are on active duty, and the number may be reduced to 50,000. The move reflects significant financial pressure on the army, though a final decision has not yet been made and is expected within days.

Reports indicate that Israel’s defense spending has risen sharply, creating a major financial strain. The decision comes amid a dispute between the defense and finance ministries over the defense budget. The army argues that multiple regional conflicts require record-level funding, while the finance ministry warns that such increases would worsen the government’s deficit.

An interim compromise has reportedly been reached, allowing the army to receive additional funds on the condition that it reduces reliance on reserve forces and cuts operational expenses.