The cabinet approved the normalization deal with Bahrain on Sunday, a week after the two countries agreed to establish formal diplomatic ties.
The deal next requires ratification by the Knesset. A date for that vote has not yet been set.
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The Prime Minister's Office office said the government ministers green-lit "preparation of peaceful, diplomatic and friendly relations between the state of Israel and the Kingdom of Bahrain."
Sunday's vote was largely a formality after the two countries last week agreed to establish diplomatic relations in the wake of signing a US-brokered agreement in September.
