Palestinian Authority Reportedly Accepts Funds Collected by Israel

Palestinian Prime Minister Mohammad Shtayyeh during a government meeting in Ramallah (AFP)
Palestinian Prime Minister Mohammad Shtayyeh during a government meeting in Ramallah (AFP)
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Palestinian Authority Reportedly Accepts Funds Collected by Israel

Palestinian Prime Minister Mohammad Shtayyeh during a government meeting in Ramallah (AFP)
Palestinian Prime Minister Mohammad Shtayyeh during a government meeting in Ramallah (AFP)

The Palestinian Authority (PA) is moving to accept the tax revenue money that will be transferred by Israel, even though part of it has been placed in the custody of Norway, according to a Palestinian source.

The source told Asharq Al-Awsat that the Authority responded to US intervention and other mediation that proposed receiving the funds now after part of them were placed in the custody of a third country.

The US pledged to resolve the crisis of the withheld funds at a later time in a way that ensures its transfer to the Authority and reassures Israel that they will not reach Hamas.

Initially, the PA rejected the Israeli plan to transfer funds, considering it incomplete and conditional, but agreed after intense pressure, said the source, adding that they thought the plan resulted from a significant US effort that clashed with Israel.

The source explained that after receiving the funds, the Authority will pay wages, the salaries of retirees in Gaza, and monthly grants to needy families.

The PA informed the US that it will not stop its obligations towards Gaza in any way because it is a political issue related to the unity of the Palestinian land under one authority.

The Authority has yet to accept receiving the tax revenues officially.

At the onset of the cabinet meeting on Monday, Prime Minister Mohammad Shtayyeh said that consultations were being conducted to decide on receiving the funds.

The Prime Minister said that the Israeli government approved the transfer of the portion of the money that "we spend on the Gaza Strip to Norway, provided that this money is placed in a special account there, and stipulated that this money not be transferred to us."

Shtayyeh explained that Norway decided to take this task as Chair of the International Aid Coordination Committee for Palestine.

The PM appreciated the international effort in this context and said, "We wait until the final features of the presented formula become clear, and we salute the employees for their stance in support of their people in Gaza and their patient, steadfast, patriotic, and honorable stance in rejecting blackmail and piracy."

The PM said that "what governs our decision is essentially the national interest, and strengthening the steadfastness of our people on our land, and that all of this money is our right and it is ours."

He stressed that whatever the outcome of the consultations, it will not be at the expense of Palestinian commitment to the people in the Gaza Strip, who are in greater need of this assistance than ever before.

On Sunday, Israel's cabinet approved a plan for frozen tax funds earmarked for Gaza to be held by Norway instead of transferred to the Authority.

The proposal, approved at Washington's request, stipulates that the funds be transferred to the Authority, provided that the funds allocated to the Strip are transferred to Norway.

The Israeli ministers agreed that if it turns out that the agreement has been violated, Finance Minister Bezalel Smotrich can end the monthly transfers to the account.

The US administration feared that the economic collapse of the Authority would lead to a violent escalation in the West Bank due to its inability to pay the salaries of its security forces.

Meanwhile, Secretary of the Executive Committee of the Palestine Liberation Organization (PLO) Hussein al-Sheikh rejected any deductions from Palestinians' financial rights or any conditions imposed by Israel that prevent the PA from paying the people in the Gaza Strip.

"We call on the international community to stop this behavior based on piracy and stealing the money of the Palestinian people and force Israel to transfer all of our money," he added.

Hours later, Sheikh said that the Palestinian leadership is considering all proposals to solve the current financial crisis as a result of the withholding of funds by Israel.

The Palestinian leadership insists on its commitment to the Palestinian people in the Gaza Strip.

The Authority hopes the funds will help alleviate the financial crisis that forced it to pay deducted salaries to its employees in the civil and military sectors.



WSJ: US to Ease Aid Restrictions for Syria in Limited Show of Support for New Government

Graffiti of the Syrian revolution flag is painted on a mosaic of former Syrian President Hafez al-Assad after the ousting of President Bashar al-Assad, in Damascus, Syria January 2, 2025. (Reuters)
Graffiti of the Syrian revolution flag is painted on a mosaic of former Syrian President Hafez al-Assad after the ousting of President Bashar al-Assad, in Damascus, Syria January 2, 2025. (Reuters)
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WSJ: US to Ease Aid Restrictions for Syria in Limited Show of Support for New Government

Graffiti of the Syrian revolution flag is painted on a mosaic of former Syrian President Hafez al-Assad after the ousting of President Bashar al-Assad, in Damascus, Syria January 2, 2025. (Reuters)
Graffiti of the Syrian revolution flag is painted on a mosaic of former Syrian President Hafez al-Assad after the ousting of President Bashar al-Assad, in Damascus, Syria January 2, 2025. (Reuters)

The Biden administration plans to announce Monday that it will ease restrictions on humanitarian aid for Syria, speeding delivery of basic supplies without lifting sanctions that restrict other assistance to the new government in Damascus, the Wall Street Journal reported on Sunday.
The step, approved by the administration over the weekend, authorizes the Treasury Department to issue waivers to aid groups and companies providing essentials such as water, electricity and other humanitarian supplies, the WSJ reported citing officials.