TribLIVE

| USWorld


 
Larger text Larger text Smaller text Smaller text | Order Photo Reprints

Israel ices $100M Palestinian payout

Daily Photo Galleries

By The Washington Post
Sunday, Dec. 2, 2012, 9:02 p.m.
 

RAMALLAH, West Bank — Returning to a hero's welcome Sunday after gaining limited recognition of statehood at the United Nations, Palestinian Authority President Mahmoud Abbas faced fresh punitive action by Israel, which froze the transfer of more than $100 million in tax revenue collected for his cash-strapped government.

The Israeli step was the second response to the vote last week at the U.N. General Assembly, which granted the Palestinians the status of a “non-member observer state.” On Friday, Israel said it would build 3,000 homes in West Bank settlements and in East Jerusalem, and would advance controversial settlement plans near the city in an area deemed critical for the territorial contiguity of a Palestinian state.

Israeli Finance Minister Yuval Steinitz announced that he was halting the transfer of tax and customs revenues collected by Israel for the Palestinian Authority. A spokeswoman for Steinitz said that a monthly tax transfer of about $120 million due to be made this week would not be carried out because of “the unilateral step taken by the Palestinians.” The funds would be diverted to meet a debt of some $200 million to the Israel Electric Corp., the spokeswoman said.

Still, the mood at the presidential compound in Ramallah was euphoric. A flag-waving crowd of thousands erupted when Abbas declared: “We now have a state.

“The world has said loudly: ‘Yes to the State of Palestine. . . . No to aggression, settlement and occupation,' “ he added.

 

 
 


Show commenting policy

Most-Read World

  1. Turks, fleeing Kurds battle as Islamic State besieges town in Iraq
  2. Pakistan eyeing sea-based and short-range nuclear weapons, analysts say
  3. Libyan clashes could endanger oil exports
  4. Yemen signs peace deal with Shiite rebels
  5. 100 tons of supplies to fight Ebola sent to West Africa
  6. Unity agreement eases Afghanistan’s political crisis
  7. Thousands march in Moscow against Ukraine fighting
  8. Egyptian President al-Sisi feels vindicated in crackdown as Islamic extremists rise
  9. Islamic State link with well-heeled companies or individuals targeted
  10. Turkish hostages freed from Islamic State, but questions linger
  11. It’s not a small world after all: Global population estimated to soar
Subscribe today! Click here for our subscription offers.