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PA minister expects Israel to resume tax transfers

Jan. 26, 2013 1:48 P.M. (Updated: Jan. 29, 2013 10:28 A.M.)
BETHLEHEM (Ma’an) -- The Palestinian Authority minister of economy said Friday that he expects the Israeli government to stop withholding tax revenues in the near future.

Jawad al-Naji told Ma’an that the financial crisis would be solved if the Israeli government pays the tax revenues, if Arab countries contribute to the so-called safety net, and when European countries resume aid.

Al-Naji said aid from the EU was expected to resume next month, while the Israeli government will likely begin transferring tax revenues, which he said was an obligation under international law.

The minister also said Arab countries were expected to contribute to the PA "safety net" to help it continue operating despite sanctions. Saudi Arabia is contributing the most, but he said Iraq, Kuwait and Qatar were likely to contribute to the initiative.

He highlighted that officials were waiting until a summit in March to confirm the proposed safety net.

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