Jerusalem - Israeli Prime Minister Benjamin Netanyahu clinched a deal on Wednesday to form a new government after reaching agreement with a far-right party, political sources said, just two hours before a deadline was due to expire.
The sources, speaking on condition of anonymity, said Netanyahu's Likud party and the Jewish Home had plans to announce the deal shortly and then sign it.
The coalition will rule by only the slimmest of majorities, 61 of 120 members in Israel's turbulent parliament.