EU won’t give aid to PA until it accepts taxes collected by Israel — report

The European Union is conditioning its aid to the Palestinian Authority on the PA’s acceptance of tax revenues collected by Israel on its behalf, Axios reports, citing Israeli and European officials.

The Palestinians have refused the hundreds of millions of tax revenues over Israel’s plans to annex parts of the West Bank, deepening its financial woes. The Palestinians have also severed security and civilian coordination in protest. The planned annexation was suspended last month as part of Israel’s normalization deal with the UAE.

According to Axios, EU foreign policy chief Josef Borrell called PA President Mahmoud Abbas and told him Europe would not offer financial assistance or loans until the PA accepts the taxes. Jordan and Egypt have conveyed similar messages, it says.

Borell also encouraged the PA leader to resume its coordination with Israel, it says. Diplomats say Abbas was evasive on this point.