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Arab League Pledges $100 Million Monthly to Cash-strapped Palestinian Authority

The Arab League pledged $100 million monthly to the cash-strapped Palestinian Authority, following a meeting between Mahmoud Abbas and regional diplomats in Cairo. Ramallah is facing a major budget deficit due to President Trump’s cut-off of financial aid to the PA, as well as Israel’s decision to withhold the taxes and tariffs it collects on behalf of and distributes to the Palestinian leadership due to its policy of paying stipends to security prisoners and the families of those killed in attacks against Israelis. In response, the PA was forced to halve the salaries of civil servants and reduce public services. During his address to Arab foreign ministers, Abbas also lobbied for support ahead of the anticipated release in June of the White House’s two-years-in-the-making peace plan, which the PA has rejected out of hand. It comes as Arab media quoted a leading Palestinian official as saying that some Middle East countries have been exerting pressure on the PA to play ball with Trump, who has forged close ties with Egypt and Saudi Arabia, the ostensible leaders of the Sunni Muslim world. Abbas imposed a boycott on American officials in the wake of Trump’s decision in 2017 to recognize Jerusalem as the capital of Israel. He has since hinted that the Palestine Liberation Organization—which dominates the PA and is deemed the official voice of all Palestinians—is contemplating retaliatory steps including possibly withdrawing formal recognition of Israel’s right to exist.