Moda'i began his political career as a member of the now-defunct Liberal Party, which merged into the Likud. He served as minister without portfolio, finance minister, justice minister and energy and infrastructure minister. He is best known for the 1985 economic stabilization plan that severely curtailed the hyperinflation of the early 1980s, which he, as finance minister, devised together with then-Prime Minister Shimon Peres.

His last public role was as head of the Jubilee Association, a post from which he resigned several months ago because of dissatisfaction with the way the government related to the committee.

He is survived by his wife, Michal, a son and a daughter.