While Europe and foreign countries continue to pay millions towards PA projects, Prime Minister Shtayyeh says no one will fund PA salaries
Headline: “Shtayyeh to Al-Hayat Al-Jadida: Our hardship is not in funding projects, but rather in paying the salaries”
“[PA] Prime Minister Muhammad Shtayyeh said that the hardship that the PA is suffering from is not in funding projects, but rather in paying the salaries... Shtayyeh explained that the world is aiding [The PA] in the field of projects, but as of now it is not aiding at all in paying the salaries.
The prime minister said that the money that the PA receives comes from three sources: local taxes, tax money [transferred by Israel], and international aid.He explained that local taxes are being collected at the extent of 300 million [Israeli] shekels a month, and the tax money is evaluated at approximately 700 million shekels from which Israel is deducting 200 million shekels (refers to Israel’s Anti “Pay-for-Slay” Law to deduct PA terror salaries; see note below -Ed.), while the cost of salaries alone stands at 920 million shekels, and the PA needs 1.2 billion shekels a month to cover all its expenses.
Shtayyah said that about everything concerning the salaries there is a monthly deficit, and that the [PA] government previously borrowed from the banks but it may be that this month it will be unable to do that…
He added: ‘The funding connected to the projects has not stopped. Our recent visit to Europe was very successful, and we found attentive ears regarding the Israeli attacks and regarding our demands that Europe recognize Palestine. The Europeans paid just $16 million in 2021 (apparently refers to amount directly paid to the PA budget -Ed.), but Europe will give double funding next year . In other words, Europe will give $600 million in 2022, of which $170 million is for UNRWA (UN Relief and Works Agency for Palestine Refugees in the Near East) – and this is important in order to preserve it as an institution – and the rest is for projects, aid to the budget, and programs aiding the poor in the West Bank and Gaza Strip.’ …
Shtayyeh emphasized that the aid from the US is still zero, and so too is the aid from the Arab states. He noted that a dialogue is being held with the Arab brothers and added: ‘I am certain that our brothers in the Arab states will not abandon us – not politically, not in terms of moral support, and not in terms of material aid.’”
Israel's Anti "Pay-for-Slay" Law - Israeli law stating that the PA payments to terrorists and the families of dead terrorists is a financial incentive to terror. The law instructs the state to deduct and freeze the amount of money the PA pays in salaries to imprisoned terrorists and families of "Martyrs" from the tax money Israel collects for the PA. Should the PA stop these payments for a full year, the Israeli government would have the option of giving all or part of the frozen money to the PA. The law was enacted by the Israeli Parliament on July 2, 2018. During the parliamentary vote, the law's sponsor Avi Dichter said: “The Foreign Affairs and Defense Committee received much help in its deliberations... from Palestinian Media Watch who provided us with authentic data that enabled productive and professional deliberations, nuances that are very difficult to achieve without precise data.” [Israeli Parliament website, July 2, 2018] In accordance with the law, as of September 2021 Israel’s Security Cabinet had ordered the freeze of 1.857 billion shekels ($580.15 million) - the sum equivalent to the PA payments to terrorists in 2018, 2019, and 2020.