The Gaza government is facing a financial crisis in light of a ban imposed on bank transfers to the Hamas-led government by Egypt and resulting from the Israeli siege, the head of budgetary and financial affairs for Gaza’s Palestinian Legislative Council (PLC), said on Wednesday.
Gaza PLC official Jamal Nassar said that the Hamas government is unable to access funds from abroad ‘because banks are enforcing the US National Bank’s order to prevent any dealing with Hamas and the government.’
He added: ‘Gaza banks cannot ignore the US demand on transferring funds.
‘Ninety per cent of the government’s funds come from abroad in the form of financial aid, and ten per cent is retrieved from collecting taxes and fees in Gaza.’
Nassar added that large, profitable companies in Gaza have refrained from paying taxes, negatively impacting the government.
‘The government cannot disburse employees’ salaries on the given date because it cannot receive funds, despite them being available abroad,’ he added.
The PLC official denied imposing taxes on Gaza’s sole power station, saying ‘these are baseless rumours’.
Nassar added that the tax imposed on crafts was only applicable to craftsmen able to pay, adding that ‘anyone who cannot pay the crafts’ tax should go to the Gaza Municipality to explain his reasoning.’
Meanwhile the siege on Gaza continues.
Within hours of announcing the terminal’s ‘indefinite closure,’ Egyptian authorities said on Wednesday that Cairo had reopened the Rafah crossing into Gaza.
Egyptian security officials said that the crossing’s reopening came ‘without mentioning any reasons,’ and that it would remain open for Palestinian patients who have completed treatment in Egyptian hospitals to return until Thursday, in accordance with its weekly schedule.
The Egyptian authorities had announced on Wednesday morning that the Rafah crossing into Gaza would be closed to travellers indefinitely.
The authorities gave no explanation as to the decision’s motives.
Egypt opens the Rafah crossing haphazardly, often causing Palestinian patients and students to become stranded on either side.
The crossing is only open two days each week and only into Gaza.
On March 1st, Egyptian authorities opened the crossing for a three-day period, following a two-month closure.
In a separate development, Israeli citizens living in an illegal West Bank settlement vandalised a mosque in the village of Huwwara, after storming the Nablus village early Wednesday morning.
Settlers from the nearby Yitzhar settlement ascended upon the village at 2am and sprayed graffiti, including a Star of David and racist slogans across the the Bilal Ben Rab Mosque in the Qoza area of the village, said Ghassan Doughlas, Palestinian Authority official in charge of the settlement portfolio in the northern West Bank.
Two cars were further set on fire in the village, belonging to Ziad Abdullah Theeb and Sameer Ibrhaim Zahar respectively.
The official added that settlers crashed into another vehicle belonging to Zaher’s brother.
More than 300 olive trees were uprooted and the racist graffiti was sprayed across the village.
A statement issued by the Israeli army confirmed the incident and said ‘the Commander of the IDF Judea and Samaria division (the West Bank), Brig. Gen. Nitzan Alon ordered an immediate investigation into the incident, condemned the acts and said that those responsible should be brought to justice.’
The Israeli army added that it ‘conveyed a message to the Palestinians through the Civil Administration’, reassuring them that it ‘takes the matter of harming holy sites very seriously.’ The Civil Administration erased the graffiti following the incident, the statement said.
Meanwhile, US President Barack Obama said on Tuesday that Israelis and Palestinians may not be ready to resolve the conflict, in spite of pressure Washington exerts on the two sides,
Obama said he had little hope for progress toward Middle East Peace during a news conference after hosting a nuclear security summit.
‘The truth is in some of these conflicts the United States can’t impose solutions unless the participants in these conflicts are willing to break out of old patterns of antagonism,’ he said.
US-brokered ‘proximity talks’ were quickly derailed when Israel announced a settlement expansion plan during US Vice-President Joe Biden’s trip to the region in a bid to renew negotiations.
Despite US condemnation, Israeli Prime Minister Binyamin Netanyahu is said to have given little ground over Israeli-only building on land occupied in 1967 during talks with Obama in Washington last month.
However, Obama said that, despite frustration with the peace process, the US would press on, ‘Constantly present, constantly engaged,’ he added.
‘It’s going to take time, and progress will be halting,’ he admitted. ‘And there will be frustrations.’
‘The Israeli people, through their government, and the Palestinian people, through the Palestinian Authority, as well as other Arab states may say to themselves “We are not prepared to resolve these issues no matter how much pressure the United States brings to bear,”’ Obama said.
On Monday, Obama and Jordan’s King Abdullah agreed on the sidelines of the Washington nuclear summit that Palestinian and Israeli officials should immediately restart proximity talks, Israeli media reported.
‘During these discussions, both agreed that Israeli-Palestinian proximity talks should begin as soon as possible, and transition quickly to direct negotiations,’ the White House said, according to the Israeli daily Haaretz.
‘They also agreed that both sides should refrain from actions that undermine trust during these talks.’