Israel withholding $4.4 billion in PA funds, minister says

Jacob Magid is The Times of Israel's US bureau chief

Palestinian Authority Finance Minister Estephan Salameh says in a press conference that the amount of money Israel is withholding from the PA has climbed to $4.4 billion.

This comes after 10 consecutive months in which Israel has refused to carry out monthly transfers of clearance revenues that it collects on Ramallah’s behalf.

Israel has justified withholding some of the PA’s funds to compensate for stipends Ramallah pays to the families of security prisoners and slain attackers — a policy the authority says it has ceased. But the decision to withhold the entirety of the funds by far-right Finance Minister Bezalel Smotrich has been opposed by Israel’s security establishment, which fears it could lead to the collapse of the PA.

Salameh says in a press conference that the tax funds make up 70 percent of the PA’s revenue.

Due to Israel’s withholding of funds, which violates the Oslo Accords, Salameh says that the PA can only pay 60% of the salaries of public servants.

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