Israel Releases $100M in Palestinian Tax Cash

Sanctions Threat Over Unity With Hamas Fades

By Reuters

Published May 06, 2014.
  • Print
  • Share Share

Palestinian public sector workers received their salaries on Tuesday, Palestinian officials said, in a sign that Israel had backed down from a threat to impose sanctions as peace talks began to collapse last month.

Israel had said on April 10 it would withhold funds after Palestinian President Mahmoud Abbas signed a series of international human rights conventions he hoped would allow Palestinians to eventually challenge Israel at the United Nations, which recognized Palestine as a non-member state in 2012.

U.S.-backed Israeli-Palestinian peace negotiations ended on April 29 with no breakthrough.

Palestinian officials said the payment reflected Israel’s decision to transfer more than $100 million in customs duties it collects on goods headed to Palestinian-run areas through border crossings it controls.

The money accounts for about two-thirds of the Palestinian budget and is key to keeping its large public sector functioning and maintaining stability in the Israeli-occupied West Bank.

Israel had said it would dock payment of over $100 million it said the Palestinian government owed it in utility bills.

Israeli officials could not be immediately reached for comment during a national holiday.

Speaking last week, Palestinian Prime Minister Rami Hamdallah told reporters Israel would be paying the near usual monthly amount of 450 million shekels ($130.3 million) and only deducting 20 million shekels ($5.8 million) as part of a loan taken out by a previous Palestinian government.

Palestinians say their economy cannot reach its full potential while it remains under partial Israeli control. They seek an independent state in Gaza, East Jerusalem and the West Bank.

Israeli, Palestinian and U.S. officials say they hope to revive peace talks given the right conditions.

Israel had said on April 10 it would withhold funds after Palestinian President Mahmoud Abbas signed a series of international human rights conventions he hoped would allow Palestinians to eventually challenge Israel at the United Nations, which recognized Palestine as a non-member state in 2012.

U.S.-backed Israeli-Palestinian peace negotiations ended on April 29 with no breakthrough.

Palestinian officials said the payment reflected Israel’s decision to transfer more than $100 million in customs duties it collects on goods headed to Palestinian-run areas through border crossings it controls.

The money accounts for about two-thirds of the Palestinian budget and is key to keeping its large public sector functioning and maintaining stability in the Israeli-occupied West Bank.

Israel had said it would dock payment of over $100 million it said the Palestinian government owed it in utility bills.

Israeli officials could not be immediately reached for comment during a national holiday.

Speaking last week, Palestinian Prime Minister Rami Hamdallah told reporters Israel would be paying the near usual monthly amount of 450 million shekels ($130.3 million) and only deducting 20 million shekels ($5.8 million) as part of a loan taken out by a previous Palestinian government.

Palestinians say their economy cannot reach its full potential while it remains under partial Israeli control. They seek an independent state in Gaza, East Jerusalem and the West Bank.

Israeli, Palestinian and U.S. officials say they hope to revive peace talks given the right conditions.

Israel had said on April 10 it would withhold funds after Palestinian President Mahmoud Abbas signed a series of international human rights conventions he hoped would allow Palestinians to eventually challenge Israel at the United Nations, which recognized Palestine as a non-member state in 2012.

U.S.-backed Israeli-Palestinian peace negotiations ended on April 29 with no breakthrough.

Palestinian officials said the payment reflected Israel’s decision to transfer more than $100 million in customs duties it collects on goods headed to Palestinian-run areas through border crossings it controls.

The money accounts for about two-thirds of the Palestinian budget and is key to keeping its large public sector functioning and maintaining stability in the Israeli-occupied West Bank.

Israel had said it would dock payment of over $100 million it said the Palestinian government owed it in utility bills.

Israeli officials could not be immediately reached for comment during a national holiday.

Speaking last week, Palestinian Prime Minister Rami Hamdallah told reporters Israel would be paying the near usual monthly amount of 450 million shekels ($130.3 million) and only deducting 20 million shekels ($5.8 million) as part of a loan taken out by a previous Palestinian government.

Palestinians say their economy cannot reach its full potential while it remains under partial Israeli control. They seek an independent state in Gaza, East Jerusalem and the West Bank.

Israeli, Palestinian and U.S. officials say they hope to revive peace talks given the right conditions.


The Jewish Daily Forward welcomes reader comments in order to promote thoughtful discussion on issues of importance to the Jewish community. In the interest of maintaining a civil forum, The Jewish Daily Forwardrequires that all commenters be appropriately respectful toward our writers, other commenters and the subjects of the articles. Vigorous debate and reasoned critique are welcome; name-calling and personal invective are not. While we generally do not seek to edit or actively moderate comments, our spam filter prevents most links and certain key words from being posted and The Jewish Daily Forward reserves the right to remove comments for any reason.





Find us on Facebook!
  • Many #Israelis can't make it to bomb shelters in time. One of them is Amos Oz.
  • According to Israeli professor Mordechai Kedar, “the only thing that can deter terrorists, like those who kidnapped the children and killed them, is the knowledge that their sister or their mother will be raped."
  • Why does ultra-Orthodox group Agudath Israel of America receive its largest donation from the majority owners of Walmart? Find out here: http://jd.fo/q4XfI
  • Woody Allen on the situation in #Gaza: It's “a terrible, tragic thing. Innocent lives are lost left and right, and it’s a horrible situation that eventually has to right itself.”
  • "Mark your calendars: It was on Sunday, July 20, that the momentum turned against Israel." J.J. Goldberg's latest analysis on Israel's ground operation in Gaza:
  • What do you think?
  • "To everyone who is reading this article and saying, “Yes, but… Hamas,” I would ask you to just stop with the “buts.” Take a single moment and allow yourself to feel this tremendous loss. Lay down your arms and grieve for the children of Gaza."
  • Professor Dan Markel, 41 years old, was found shot and killed in his Tallahassee home on Friday. Jay Michaelson can't explain the death, just grieve for it.
  • Employees complained that the food they received to end the daily fast during the holy month of Ramadan was not enough (no non-kosher food is allowed in the plant). The next day, they were dismissed.
  • Why are peace activists getting beat up in Tel Aviv? http://jd.fo/s4YsG
  • Backstreet's...not back.
  • Before there was 'Homeland,' there was 'Prisoners of War.' And before there was Claire Danes, there was Adi Ezroni. Share this with 'Homeland' fans!
  • BREAKING: Was an Israeli soldier just kidnapped in Gaza? Hamas' military wing says yes.
  • What's a "telegenically dead" Palestinian?
  • 13 Israeli soldiers die in Gaza — the deadliest day for the IDF in decades. So much for 'precision' strikes and easy exit strategies.
  • from-cache

Would you like to receive updates about new stories?




















We will not share your e-mail address or other personal information.

Already subscribed? Manage your subscription.