EU top diplomat says 'weakening of the Palestinian Authority has to stop'

In a post on X on Friday, EU's chief diplomat expressed his concern over the withholding of funds by the Israeli government to the Palestinian Authority.

“A solution shall be found within the existing mechanism. The weakening of the Palestinian Authority has to stop.”

Earlier this week, Israel’s far-right Finance Minister Bezalel Smotrich signed an order to deduct $35m of Palestinian tax revenues and transfer the funds to Israeli families whose members were killed in attacks by Palestinian fighters.

Since the 1994 Paris agreement, Israel collects Palestinian tax and redistributes its revenue. The total revenue is estimated to be approximately $220m a month, making it the main source of income for the Palestinian Authority.

Last month, reports emerged that Smotrich is reportedly withholding some $46m in tax revenue for the PA in response to the PA's attempt to press the ICC to issue arrest warrants for Israeli officials over alleged war crimes in Gaza.