Yisrael Katz, a right-wing rival to Prime Minister Benjamin Netanyahu, is to become Israel's new foreign minister.
The appointment comes less than two months before the April 9 general election and relieves Mr Netanyahu of one of the four cabinet positions he holds.
In addition to prime minister, Mr Netanyahu remains defence minister and health minister.
He had been foreign minister since 2015, and took on the defence portfolio after Avigdor Lieberman's resignation at the end of last year.
"Together with the prime minister we will continue to advance and lead Israel's foreign policy to further achievements," Mr Katz said in a statement after the announcement on Sunday.
A Likud spokesman said Mr Katz would become acting foreign minister, but gave no further details.
It is unclear whether he will remain transportation and intelligence minister in addition to the foreign portfolio.
The 63-year-old Mr Katz is a senior member of the governing Likud and wields influence within the party.
He has previously spoken of his ambition to become prime minister, but has not been recently rumoured to be considering a challenge to Mr Netanyahu.