Israel to release Palestinian tax revenue
 Print This
By Staff Writers, teleSUR
teleSUR
Saturday, Mar 28, 2015
 |
| Israeli Prime Minister Benjamin Netanyahu (L) and Palestinian President Mahmoud Abbas. | Photo: AFP
|
The announcement comes via a press release from the office of Prime Minister Benjamin Netanyahu Friday. The news comes after revenue transfers to the Palestinian Authority were frozen when Palestine filed a formal application for membership in the International Criminal Court early January 2015.
The amount frozen was 500 million in tax collections. The tax money, which Israel withheld from the Palestinian Authority, is used to pay public sector salaries and is critical to running the PA. The freeze meant salaries were cut by 40 percent, and forced the PA to resort to an emergency budget.
Currently in Palestine there is 25 percent unemployment and output is set to contract this year, which increases the threat of instability and violence.
A statement from the Israeli's Prime Minister’s office said the decision was made at the recommendation of Israel’s security establishment, according to the Jerusalem Post, and reflected “humanitarian considerations and an overall view toward serving Israel's interests at this juncture.”
Based on Israel’s decision the tax revenues that accrued until this past February will be offset by payments for services rendered to the Palestinian population, which included water, electricity, and hospital services.
Source URL
|
 Print This
|
