2019 Activities

Statement by the Civil Society Team for Enhancing Public Budget Transparency on Israel’s plunder of Palestinian money

Statement by the Civil Society Team for Enhancing Public Budget Transparency on Israel’s plunder of Palestinian money

Ramallah-The Israeli occupying authorities have escalated the pillage of Palestinian people’s funds and entitlements accrued by clearance revenues. These are taxes paid by Palestinian citizens and collected by Israel, which controls border crossings. Israel has recently decided to seize and freeze a total of NIS 502 million of Palestinian clearance revenues, claiming that this amount had been paid by the Palestinian National Authority (PNA) to the families of martyrs, injured citizens and prisoners in 2018. In conjunction with this measure, Israel has deducted as much as NIS 14 million from Palestinian clearance revenues in compensation for Palestinian collaborators who fled to Israel. The Israeli Prime Minister also instructed Israeli security agencies to determine additional amounts to be deducted from Palestinian clearance revenues at a later stage.

Israel’s plunder of Palestinian funds is, in fact, a gross violation of International Law and Paris Protocol. The latter governs economic relations between the PNA and Israel. The deduction deals a death blow to the Palestinian economy, puts at risk the livelihoods of thousands of Palestinian households, and deprives Palestinians of financial safety. It is hardly surprising that this action has been taken in the context of the Israeli election fever. It is part and parcel of a competition between Israeli far right parties to punish and tighten the siege on the all aspects of Palestinian life, including by seizing funds owed to the Palestinian people. This is a rule of thumb for Israeli right-wing parties, which seek to punish Palestinians as a way to have more votes. Upcoming Israeli general elections are scheduled to take place in April 2019.

The Civil Society Team for Enhancing Public Budget Transparency deplores Israel’s plunder of Palestinian money, highlighting violation of international conventions and bilateral agreements. This is a barbaric robbery of Palestinian funds. The Civil Society Team for Enhancing Public Budget Transparency is of the view that allocations to the families of martyrs and prisoners reflect a moral obligation, humanitarian pledge, national duty, and collective responsibility. These appropriations cannot be subject to blackmail, deals, or concessions. The Civil Society Team for Enhancing Public Budget Transparency confirms the following:

- Addressing and managing this crisis requires a concerted effort and engagement by Palestinian citizens, civil society, parties, experts, academicians, and Civil Society Team for Enhancing Public Budget Transparency in order to take action and consolidate Palestinian citizens’ perseverance. The Palestinian government should adopt a more open and participatory approach. The government should launch community dialogues to respond to this crisis, bring an end to Israel’s pillage of Palestinian funds, and ensure that this action is not repeated. In partnership with the stakeholders mentioned above, the Palestinian government should establish a crisis unit to cope with the consequences of the Israeli decision. It needs to embrace the principle of real partnership in the decision-making process.

- The Palestinian people are entitled to clearance revenues. As a Palestinian right, these are taxes paid by citizens. Palestinians have the right to determine the mechanism for disbursing these funds. Nobody is entitled to interfere with Palestinian options as to how to spend this money. In this context, the decision made by the Israeli occupying authorities is tailor-made to seize Palestinian resources. The international community should take action against, and prosecute, Israel at the international level. A position should be taken on Israel’s arbitrary measures, which are designed to punish the Palestinian people and leadership and exercise political and financial blackmail using clearance revenues.

- The financial crisis and deficit resulting from this Israeli arbitrary action affects the Palestinian people as a whole. Accordingly, Palestinian actions and decisions on public financial management should not undermine the rights of the families prisoners, martyrs and injured citizens. In addition to protecting rights of the poor and vulnerable households, allocations to the Gaza Strip should not be reduced.

- Any action taken to address Israel’s plunder of Palestinian money should be informed, realistic, and based on real rationalisation of expenditure and austerity policies. This can be achieved by reducing operating expenses to the minimum throughout government bodies. Any recreational expenses, including those associated with government vehicles, motorcades, and travels, should be eliminated. This way, state institutions and public sector staff can set an example for the people. Appropriations earmarked to development sectors and public service provision should not be affected.

- The government should begin to implement decisions of the Palestinian National Council on the review of the Palestinian-Israeli economic relations. It should also propose real steps towards initiating economic disengagement from Israel.

- The Civil Society Team for Enhancing Public Budget Transparency denounces the mere thought of increasing the tax burden on Palestinian citizens as a solution to cope with Israeli measures. The Team stresses the need to review and modify the current tax system and reduce the tax burden in consistence with the norms of social justice. As elaborated in earlier reports, the Team believes that there are real opportunities to increase revenues by combating tax evasion, implementing an austerity policy, and rationalising public expenditure.

- Israeli measures targeting the Palestinian people should be countered by national unity as well as by serious and responsible action to put an end to the abominable internal Palestinian political divide.

The Civil Society Team for Enhancing Public Budget Transparency announces that it will launch an ongoing campaign in partnership with all local and international stakeholders to express rejection of Israel’s plunder of Palestinian money. The Team will demand that the international community bear its responsibilities towards the Palestinian people, who continue to be under occupation, suffer from Israeli systematic violations, and deprived of the most fundamental rights enshrined in international conventions and instruments.

The Civil Society Team for Enhancing Public Budget Transparency further announces it will launch events and take steps, in coordination with Palestinian parties, civil society actors and coalitions, and all other institutions that look after interests of the families of prisoners and martyrs. These include taking to the streets, voice rejection of Israel’s pillage, call on the Executive Power to take serious measures to confront Israel’s action, and lobby local, regional and international opinion in support of this just cause.

The Civil Society Team for Enhancing Public Budget Transparency

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