Israel says it is transferring about $100 million in tax revenues that were frozen last year to the Palestinian Authority, AP reports.
The Israeli government stated on Wednesday that this is a one-time arrangement, intended to ease the Palestinians’ economic troubles.
Israel froze the monthly payments after the PLO applied to the UN for recognition as a de facto Palestinian state in November. The funds were said to be used to pay the PA’s electric bill of $800 million.
Israel’s monthly tax transfers to the Palestinians — generated by taxes and customs duties that Israel collects on behalf of the PA — are a crucial component of the Palestinian government budget. The PA has been struggling to pay the salaries of its tens of thousands of workers.
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