Israeli Prime Minister Benjamin Netanyahu on Thursday reached a deal on forming a new ruling coalition. Netanyahu's rightwing Likud- Beitenu union will group with the centrist Yesh Atid (Future) party, the rightwing Habayit Hayehudi (Jewish Home), and a small party of former Foreign Minister Tzipi Livni.

Israeli Prime Minister Benjamin Netanyahu attends the Likud Yisrael Beitenu party meeting in Jerusalem, 14 March 2013. (Photo:EPA)

The new coalition is expected to be sworn in Monday. Netanyahu's government tends to favour rightwing on both politics and the economic front.