This article was originally published by the Al-Ahram Weekly and is republished with permission.

Likud party leader Benjamin Netanyahu speaks in 2006 during a meeting at the party headquarters in Tel Aviv. (Moti Milrod, Maan Images)

All observers agree that Likud leader Benyamin Netanyahu's coalition will bring efforts to achieve peace to a complete halt, according to all observers, though they will continue to play the game of negotiations, using prevarication, subterfuge, diversionary tactics and outright lies.

This week, Netanyahu, the prime minister designate, signed a coalition agreement with the Russian immigrant-backed Yisrael Beiteinu party, an extremist quasi-fascist secular party advocating ethnic cleansing, no-holds-barred war against the Palestinians and confrontational bellicosity against Israel's neighbours.

Predictably, the party, led by Avigdor Lieberman, advocates war against Iran to prevent it from even dreaming of developing a nuclear capability that could break Israel's regional nuclear monopoly.

According to the agreement, Lieberman will become the next Israeli foreign minister, a choice many Israeli politicians and commentators have lambasted and even ridiculed, with some suggesting that Lieberman would be a public relations disaster for Israel.

Concerns are that Lieberman as the international face of Israel will backfire because of his demagoguery and racist discourse. During his election campaign, he demanded that non- Jewish citizens of Israel pass "loyalty oaths" or else they should be stripped of Israeli citizenship.

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Israeli pundits are particularly concerned that Lieberman could imperil Israel's important ties with the Obama administration which has shown great interest in pursuing a final peace agreement between Israel and the Palestinian Authority.

Moreover, the European Union this week warned the new Israeli government against adopting an anti-peace platform, with EU Foreign Relations Chief Javier Solana saying that further EU cooperation with Israel would depend on the behaviour of the next Israeli government vis-à-vis the peace process with the Palestinians.

Lieberman has dismissed these concerns as "irrelevant", arguing that Israel should try to reach common understanding with the world's influential powers, rather than appease them.

Lieberman's main asset as foreign minister is his perceived predisposition to improve relations with the states of the former Soviet Union, given the fact that Russian is his native language.

However, even this presumed "asset" can't really be taken for granted, given the fiercely independent Russian leadership and the relatively modest influence the countries of the former Soviet Union, save Russia, of course, exert in international politics.

In addition to the Foreign Ministry portfolio, Lieberman's party has been allocated the portfolio of tourism, national infrastructure, absorption and public security.

Lieberman, who has been complaining about a chronic police witch-hunt against him personally and against the Jewish Russian public in general, is expected to be summoned for interrogation by police immediately after the formation of the government.

Police suspect Lieberman used Cypriot bank accounts registered in his daughter's name for money laundering purposes and possibly to carry out fraud and bribery offences as well.

A key term of the coalition agreement between the Likud and Yisrael Beiteinu states that "one of the strategic goals of the government is to topple the Hamas regime in the Gaza Strip".

Lieberman, a man whose mental stability is questioned by many Israelis, had suggested that Israel should drop a nuclear bomb in Gaza during the recent genocidal Israeli onslaught on the coastal enclave.

The new Israeli government will be relying on a very narrow majority of 61 Knesset members out of the 120-member parliament.

As such, very few observers suggest that the government would last for a long time, given the formidable political and economic challenges it is going to face.

Israel is already facing an acute economic crisis with rising unemployment and layoffs, growing bankruptcies, decreased exports and dwindling faith in the economy as a whole.

Historically, Israel has relied on the United States for curing its economic ills. However, with the United State itself facing one of the harshest economic crises in its history, it is unlikely that Obama will agree to give Israeli a blank check to remedy the Israeli economy unless Israel succumbs to American demands with regard to the peace process, such as putting an end to Jewish settlement expansion and pursuing a genuine peace track with the Palestinians. But this would require a radical transformation in Israeli political thinking, not only with regard to the Israeli government, but also the Israeli public.

This is why many Israelis think that the upcoming government, at least as it appears now, will not live long.

Netanyahu, a veteran politician and former prime minister, should realise that a narrow- based government whose very survival depends to a large extent on the mood of some eccentric politicians and even more eccentric religious mentors such as Shas spiritual leader Rabbi Ovadia Yosef, can't last long.

With this in mind, Netanyahu this week approached Kadima leader Tzipi Livni, asking her to reconsider her earlier refusal to join his government. However, Livni told Netanyahu that he would have to agree to the two-state solution strategy.

Al-Ahram Weekly asked veteran Israeli journalist Roni Shakeid why Netanyahu was allowing the extremist parties to hold him hostage to their whims and parochial political and ideological outlooks.

"Because he has no choice due to the indecisive outcome of the Israeli elections."

Shakeid said it was unlikely that the upcoming Netanyahu government would last for a long time. "All I can tell you is that there is going to be a lot of instability, a lot of crises and a lot of violence."

This means we are all going to have a turbulent summer, especially with a government staffed with certified war criminals such as Moshe Yaalon who thinks that the best way to make peace with the Palestinians is by killing them. Yaalon is most likely to become Israel's next defence minister.