Israeli Prime Minister Binyamin Netanyahu has reached a deal for a governing coalition in which a new centrist party will serve as his main partner, a spokeswoman for his right-wing Likud party has said.

"There is a government," the spokeswoman, Noga Katz, said on Thursday.

She said Netanyahu's Likud-Beitenu list would be allied with centrist Yesh Atid led by political newcomer Yair Lapid and far-right Jewish Home, headed by high-tech millionaire Naftali Bennett.

Al Jazeera's Nicole Johnston reports from Jerusalem.