President Herzog said that he will assign the task to form a new government to Netanyahu, 73, following consultations with leaders of all the political parties that have been elected to Parliament.
The Central Election Committee (CEC) said that Blue and White party seemed to be taking a lead over Likud after 91 per cent votes were counted.
Israeli foreign minister Avigdor Lieberman today snapped a 20-month political alliance with Prime Minister Benjamin Natanyahu, the first fallout of a simmering discontent over the fractious ruling coalition's response to frequent attacks by Palestinian Hamas militants.
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