The Palestinian Authority (PA) has finalized an agreement with the United States to address the long-standing issue of Palestinian funds withheld by Israel. This breakthrough was announced by a senior Palestinian official on Sunday, who chose to remain anonymous.
The agreement, initiated by US national security adviser Jake Sullivan during his recent meeting with Palestinian President Mahmoud Abbas in Ramallah, entails a verification process by the Israeli government. Israel will scrutinize the PA’s employee list in Gaza to confirm the exclusion of Hamas members.
Under this accord, Israel is set to transfer tax revenues collected on Palestinian goods through Israeli checkpoints. In exchange, Israel will receive a 3% commission, a term aligned with the economic guidelines established between Israel and the Palestine Liberation Organization.
The Israeli government had previously accused the PA of funneling funds to Hamas officials in Gaza, leading to the withholding of money designated for the territory. The PA, headquartered in Ramallah, has consistently denied these allegations, stating that its disbursements in Gaza are strictly for employee salaries.
This development is significant, considering Israel’s role under the Oslo Accords in collecting customs duties and other taxes for the PA. A portion of these funds is allocated for expenses in Gaza, including health care worker salaries, despite the region being under Hamas control.
