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US OKs aid channel to Palestinian finance minister

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Eugene Donating Member (1000+ posts) Send PM | Profile | Ignore Thu May-17-07 11:37 AM
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US OKs aid channel to Palestinian finance minister
Source: Reuters

US OKs aid channel to Palestinian finance minister
17 May 2007 16:06:15 GMT
Source: Reuters

By Adam Entous

JERUSALEM, May 17 (Reuters) - The United States has told the European
Union that funds can be channelled to Palestinians through an account run
by Finance Minister Salam Fayyad but that restrictions against the Hamas-
led government remain in place.

U.S. assurances about financial transactions with a Palestine Liberation
Organisation account under the control of Fayyad were conveyed in a series
of letters between Washington and Brussels, dated May 14, and obtained by
Reuters on Thursday.

The move could help Fayyad pay partial wages to more than 165,000
government workers as well as contractors and suppliers.

A crippling Western aid embargo has been in place on the Palestinian Authority
since Hamas came to power in March 2006 to pressure the group to recognise
Israel, renounce violence and accept interim Israeli-Palestinian peace deals.


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