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Coalition Boosts Peres’ Hopes for New Government

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Associated Press

A pivotal religious party today forged a coalition with Labor Party leader Shimon Peres, who said the move gave him the basis for forming “a rather solid government.”

After signing the accord with the Agudat Israel faction, leaders of the left-of-center Labor met in Tel Aviv to consider requesting a parliamentary vote Thursday on a new government, Israel radio said.

The accord with the ultra-Orthodox party created a political momentum that gave Peres a chance in breaking his 60-60 deadlock with Prime Minister Yitzhak Shamir’s Likud bloc in Parliament. Agudat Israel has five seats.

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“This means that we have closed completely the agreement and have established the basis to form a rather solid government, whether narrow or wide,” he told reporters in Tel Aviv after the signing.

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