The government on Monday passed a sweeping measure to tighten Israel's belt at a time when the world is facing another global financial crisis.

With a vote of 20 to 9, the Cabinet approved a package of austerity measures designed to raise some NIS 14.15 billion within a year, and reduce the budget deficit by 1.5 percent. Voting against the package were the Independence and Shas parties, as well as Likud Social Services Minister Moshe Kahlon.

The measures include raising taxes, increasing fines and cutting budgets.