Tel Aviv agrees to transfer tax revenues to Palestinian Authority

Palestine

Published: 2024-02-27 17:26

Last Updated: 2024-04-26 17:26


Israeli Occupation Prime Minister, Benjamin Netanyahu and Palestinian President, Mahmoud Abbas
Israeli Occupation Prime Minister, Benjamin Netanyahu and Palestinian President, Mahmoud Abbas

Tel Aviv agreed to transfer tax revenues, known as clearance, to the Palestinian Authority, Reuters reported Tuesday, citing United States Treasury Secretary Janet Yellen.

“The United States has urged the Israeli government to release clearance revenue to the Palestinian Authority to fund basic services and to bolster the economy in the West Bank,” Yellen said.

“I welcome news that an agreement has been reached and funds have started to flow. This must continue,” she added. 

Yellen added that she informed Israeli Occupation Prime Minister Benjamin Netanyahu of the necessity to reinstate work permits for Palestinians and reduce trade restrictions in the West Bank.

Earlier, Norway agreed to assist in transferring the frozen tax revenues, known as clearnce, allocated for the Palestinian Authority, according to the Norwegian Ministry of Foreign Affairs.

Oslo indicated that it agreed to provide a temporary solution to resume payments, aiming to support salary disbursements and provide essential services such as operating schools and delivering healthcare, according to their statement.

In November last year, the Palestinian Authority reiterated that it wants the full amount of money and will not accept conditions preventing it from paying its employees' salaries.

Before the end of 2023, completion of an agreement was neared between the Palestinian Authority and Israeli Occupation authorities regarding the transfer of "Israel's" tax revenues collected for the benefit of the Palestinian Authority (clearance funds). 

The agreement would allow "Israel" to access the names of salary recipients affiliated with the Palestinian Authority inside the Gaza Strip. The agreement was ratified after Palestinian President Mahmoud Abbas agreed to the recommendation made by US National Security Advisor Jack Sullivan during his visit to Ramallah last Friday, Hebrew media reported. 

Palestinian Authority informed "Israel" that it had removed members of the Hamas movement from the lists of individuals receiving salaries since 2007, according to Hebrew media.

However, the Palestinian Authority has not commented on these claims so far.

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