The Israeli government has given its approval today to a plan that allows for the transfer of frozen Palestinian tax funds allocated for Gaza, controlled by Hamas, to Norway instead of channeling them to the Palestinian Authority.
Under the temporary peace agreements reached in the 1990s, the Israeli Ministry of Finance collects taxes on behalf of Palestinians and conducts monthly transfers to the Palestinian Authority.
However, ongoing disputes persist between the two sides over this arrangement, including Israeli demands to prevent funds from reaching Hamas.
Hamas assumed control of Gaza from the Palestinian Authority in 2007 following brief clashes and two years after Israel withdrew settlers and military forces.
Despite Hamas’s control of the territory, many public sector employees affiliated with the Palestinian Authority in Gaza retained their positions and continued to receive salaries from the tax revenues transferred.
Israel is currently engaged in a conflict in Gaza aimed at eliminating Hamas following an attack by the movement’s militants on Israel from the enclave on October 7, 2023.
Prime Minister Benjamin Netanyahu stated that the Cabinet’s decision has the support of Norway and the United States, ensuring the continuity of the framework.
Netanyahu’s office added that the funds, or their equivalent, would not be transferred “in any way without the approval of the Israeli Finance Minister and not through a third party.”
The Palestine Liberation Organization stated today that it wants the full funds and will not accept conditions that prevent it from paying the salaries of its employees, including those in Gaza.
Hussein Al-Sheikh, Secretary-General of the Executive Committee of the Palestine Liberation Organization, said on the social media platform “X”: “Any infringement on our financial rights or any conditions imposed by Israel that prevent the authority from paying our people in Gaza are rejected by us.”
A spokesperson for Israel’s Finance Minister, Tzachi Hanegbi, confirmed that Norway would receive the funds following this arrangement, stating, “Not one shekel will go to Gaza.”
