Israeli Prime Minister Benjamin Netanyahu suffered a major political blow on Wednesday, with a key governing partner announcing it was quitting his coalition government, leaving him with a minority in parliament as the country faces a litany of challenges.

Shas, an ultra-Orthodox party that has long served as kingmaker in Israeli politics, announced that it would bolt the government over disagreements surrounding a proposed law that would enshrine broad military draft exemptions for its constituents — the second ultra-Orthodox governing party to do so this week.

But Shas said it would not undermine Netanyahu's coalition from the outside and could vote with it on some legislation, granting Netanyahu a lifeline in what would otherwise make governing almost impossible and put his lengthy rule at risk. Once their resignations come into effect, Netanyahu's coalition will have 50 seats in the 120-seat parliament.