After agreeing to create a cabinet position for Sharon (see 6/17), Netanyahu is able to present his new government. Sharon's national infrastructure portfolio will give him control over defense industries, government land, railroad, bypass roads--previously the purviews of several different ministries--positioning him to expand settlement activity. Netanyahu is "nominal head" of the housing, religious affairs portfolios. (QY 6/18 in FBIS 6/19; CSM, NYT, WP, WT 6/19; WJW 6/20)
In his inaugural address, PM Netanyahu calls on Lebanon, Saudi Arabia, Syria to take part in direct peace talks, with no preconditions. In his speech as outgoing PM, Peres warns Netanyahu that "the platform on which you were elected cannot serve as a recipe for success and progress in the peace process. . . . Petty slogans will be no substitute for policy." (QY 6/18 in FBIS 6/19; CSM, MM, NYT, WP, WT 6/19; MM 6/21)