The program sponsored by these two parastatal institutions was launched during significant political upheaval in Israel when a change in governments and orientation profoundly affected growth and suburbanization of settlements in the occupied territories. By the beginning of the 1980s, the promise of peace inaugurated under the Egyptian-Israel accords in the region had faded. Prime Minister Menachem Begin, whose reputation as a hard-liner had been challenged by his willingness to make territorial withdrawals in the interest of diplomacy, quickly regained his status as a settlement supporter. Ironically, while Jewish settlers were evacuating the Sinai Peninsula, settlements in other areas of the occupied territories were booming. Moreover, while most initial settlement in the previous decade
was the result of wild cat ventures sponsored by Gush Emunim with tacit government support, the Israeli government quickly took a more intensive role in settlement beyond the Green Line. This process accelerated during and after the Israel-Lebanon war in 1982. While Begin’s mishandling of conduct of the military incursions (including the tragic Sabra and Shatila
massacre) ultimately brought down his government, he helped create both international and domestic conditions that would facilitate settlement growth.