Israel Prime Minister Benjamin Netanyahu has called an emergency meeting to discuss the ramifications of a Palestinian economic collapse, according to a report from Israel’s Channel 12 News.
According to the report, Israeli officials fear that the Palestinian Government will completely collapse because of the economic strain PA President Mahmoud Abbas is putting on his people. Ever since Israel’s decision two months ago to deduct monies used for payments to terrorists and their families, Abbas has made it very that he wants all of it or nothing at all.
Israel collects taxes from her citizens to be given to the Palestinians for economic purposes. The ‘terrorist money’ that would be deducted is roughly 10 million Euros per month.
Since the law passed in February, the PA has not taken any money from Israel in protest of this new law. Given the lack of funds, the PA cut has drastically cut down funding for essential public services, and all government officials will only receive 60% of their salary this month.