Israel Refuses Early Transfer of PA Tax Revenues

Israeli Finance Minister Yuval Steinitz rejected a Palestinian Authority (PA) request to move up payment of some NIS 380 million ($105 million) in tax revenues Israel collects in its name so that the PA could pay salaries before the holiday of Id al-Fitr that began yesterday. The Israeli daily Ha’aretz reported that Steinitz ignored the advice of professionals at his ministry and the Defense Ministry to make the early transfer. The PA had taken out short-term bank loans to cover the salary payments on the assumption that since the Israeli professionals had agreed to it, the money would come through. Instead, the PA had trouble paying thousands of its employees, including members of the security forces, before the holiday.