The Palestinian Ministry of Finance and Planning said – today, Wednesday – that it will pay a percentage of the salaries of the National Authority’s civilian and military employees for the past month, as the financial crisis continues to plague it.
The Ministry explained in its statement, “65% of the salary of the 11th month of 2023 will be disbursed, with a minimum limit of 2,000 shekels, and banks are not permitted to deduct any installments or interest from this salary.”
She said that it will cover the value of the 50% advance that was disbursed by the banks to employees for the month of October, “and in practice it becomes a 50% payment for the October salary.”
The ministry continued in its statement, “14% of the balance of accumulated arrears will be disbursed to employees until the end of last November.”
The Palestinian Authority refused to receive the tax money – which Israel collects on its behalf – on the goods that pass through it to the Palestinian market, in exchange for a 3% commission after Israel’s decision to withhold the money paid to the Gaza Strip.
Palestinian Prime Minister Muhammad Shtayyeh said during the weekly government session in Ramallah today, “Israel continues to deduct our tax money, and the international effort is still intense to end the issue of clearing and the issue of financing the salaries of our people in the Gaza Strip, and we will not back down from this matter.”
The employees have not received their full salaries for about two years in light of the financial crisis that the Palestinian Authority is going through, with the decline in international and Arab financial support for it.
The Ministry of Finance said – in its statement – that “the rest of the dues are a liability for the benefit of the employees and will be disbursed when financial capabilities allow it.”
Last month, the Palestinian Ministry of Finance said – in a statement – that it refused to receive Palestinian tax revenues (clearance funds) from Israel after it deducted part of them.
The Ministry confirmed that Israel deducted 600 million shekels ($156 million) from tax funds, under the pretext that part of the amount includes salaries, employee allowances, and expenses for the Gaza Strip. Based on this “aggressive, illegal and inhumane” step, the Palestinian leadership and government took the decision “not to Receiving and returning the incomplete transfer.