The victory of Benjamin Netanyahu's Likud party in Israel's general election will have knock-on effects on the business, political and investment landscape of Israel and the Middle East, analysts told CNBC Wednesday.
With 99.5 percent of votes counted, Netanyahu's party Likud had won up to 30 seats in the 120-member Knesset, comfortably defeating the Zionist Union opposition, led by Isaac Herzog, on 24 seats, Israel's Central Election Committee and Israeli media said, according to a Reuters report. A united list of Arab parties came in third.
Talks have now started between Likud and other parties to form a coalition government.
Some were surprised at the result as voter polls had given Herzog's center-left Zionist Union alliance the lead as voters had appeared to focus on Israel's economic woes, rather than security issues on which incumbent Netanyahu took a stronger line.