NEW DELHI: An agreement to unfreeze tax funds earmarked for the Palestinian Authority (PA) that are held by Israel is expected to happen soon, according to Norway’s prime minister Jonas Gahr Stoere.
Norway, acting as an intermediary, has been working towards this agreement. Under the interim peace accords from the 1990s, Israel’s finance ministry collects taxes on behalf of the Palestinians and transfers them to the PA.
However, due to the war between Israel and Hamas militants in the Gaza Strip, no payments have been made since November. On January 21, the Israeli cabinet approved a plan for the frozen tax funds for the Gaza Strip to be held by Norway instead of being transferred to the PA.
PM Jonas Gahr Stoere stated in an interview that the talks have concluded, and an arrangement is very close to being settled. Accessing these funds is crucial for the survival of the PA, which has limited self-rule in the Israeli-occupied West Bank. Western countries, including the United States, want the PA to have a role in the administration of the Gaza Strip after the war ends.
Norway, trusted by all parties involved, has been working diligently to manage financial support to the PA in a responsible manner. The country has played a significant role in the past as a facilitator in talks between Israel and the Palestine Liberation Organization, leading to the Oslo Accords. As chair of the donor group coordinating international assistance to the Palestinian territories, Norway remains actively involved. With the recent escalation of conflict between Israel and Hamas, there is a renewed interest in utilizing the Ad Hoc Liaison Committee (AHLC) as a diplomatic channel.
Stoere mentioned that consultations are ongoing to determine the timing of another AHLC meeting, with the priority being the delivery of humanitarian aid to the Gaza Strip. It is widely believed that the failure and bankruptcy of the PA would be detrimental to both Palestinians and Israel’s security.
(With agency inputs)