News Analysis: Israel to continue transferring funds to PNA under international pressure: analysts

11:09, May 06, 2011      

Email | Print | Subscribe | Comments | Forum 

by Adam Gonn

The Israeli government is facing international pressure as it suspends the transfer of some 89 million U.S. dollars of taxes that it has collected on behalf of the Palestinian National Authority (PNA), in the wake of Hamas and Fatah signing the Egypt-sponsored reconciliation deal.

Local analysts speaking to Xinhua on Thursday estimate that the money will be transferred soon, and that the EU is likely to continue providing aid to the Palestinians at least for now, though there is a strong possibility that the U.S. will end its aid.


The current delay of the transfer has lasted a couple of days, a relatively short time compared to the two previous occasions when Israel withheld the funds: one during the second intifada, or Palestinian uprising; the second from February 2006 until July 2007 when Hamas had won the Palestinian parliamentary elections.

Avi Nudelman, CEO of the Israeli-Palestinian Chamber of Commerce and Industry, told Xinhua that at the moment it's too soon to tell what effects Israel's withholding will have, and that he isn't sure whether Israel will boycott the possible Palestinian unity government as no official decision has been taken yet.

"It's not small money. It's very important for the PNA, but now I cannot say what kind of harm it will make," Nudelman said.

Analysts told Xinhua earlier that two-thirds of the Palestinian budget comes from these revenues. Any further delay of the transfer "will certainly hurt the economy and immediately it means that there are no salaries for 170,000 Palestinian civil servants, " said Hanna Siniora, Co-CEO of the Israel Palestine Center for Research and Information.

【1】 【2】 【3】

BRICS Leaders Meeting 2011
Japan in aftershocks
  Weekly review  
April 23   Pictures catch ancient & cultural heritage of a Sichuan town
April 28   Will China's rise lead to the decline of U.S.?
April 25   Kunming-Singapore High-Speed Railway begins construction
April 25   Chinese path -- a marvel of world's economic growth
April 23   The week in pictures
April 26   Second excavation to sunken 'Nan'ao No 1' finished
April 27   Guizhou girl designs tea set for Prince William's wedding
April 26   PLA reserve force Type 07 uniform makes debut in Beijing
April 28   Old friends eye for new & higher levels of cooperation
April 29   Shanghai auto show closes


  • Do you have anything to say?


Special Coverage
  • Al-Qaeda leader Osama bin Laden dead
  • BRICS Leaders' Meeting 2011
Major headlines
Editor's Pick
  • Merkel meets with visiting Abbas
  • U.S. official briefs on upcoming U.S.-China Strategic, Economic Dialogue
  • Hamas' Gaza administration ready to resign after reconciliation
  • 24th Tehran Int'l Book Fair opens in Iran
  • Fire broke out in a 28-storey building in SW China
  • Visiting U.S. Secretary of State meets with Italian PM
Hot Forum Dicussion