Donor nations agree on emergency financial aid package for the Palestinian Authority

A group of nations providing financial assistance to the Palestinian Authority has agreed to an emergency package increasing the support, Norway’s foreign ministry says.

Saudi Arabia, Spain, Britain, Japan and France are among the nations supporting the initiative dubbed the Emergency Coalition for the Financial Sustainability of the Palestinian Authority.

It is not immediately clear how much funding the initiative would raise.

The Norwegian government says its contribution is for 40 million Norwegian crowns ($4.0 million).

“This coalition was established in response to the urgent and unprecedented financial crisis confronting the Palestinian Authority (PA),” the foreign ministry says in a statement.

The immediate purpose is to stabilize the PA’s finances and preserve its ability to govern, provide essential services and maintain security, it adds.

The countries participating in the scheme also call on Israel to release funds belonging to the PA.

For four consecutive months, far-right Finance Minister Bezalel Smotrich has been refusing to transfer clearance revenues that Israel collects on the PA’s behalf. These funds make up the majority of Ramallah’s budget and their withholding has brought the PA to the brink of collapse.

Norway has for decades chaired the international donor group to the Palestinians known as the Ad Hoc Liaison Committee (AHLC).

Jacob Magid contributed to this report.