The cash-strapped Palestinian Authority could get an aid package soon to end the mounting crisis in the territories over the unpaid salaries of civil servants, a senior EU official said.
‘We (are trying) now to set up an international mechanism to send aid to the Palestinians,’ European Commissioner for External Relations Benita Ferrero-Waldner told reporters in Cairo after a meeting with Egyptian Foreign Minister Ahmed Abul Gheit.
Her comment came three days after French President Jacques Chirac wrote to the leaders of Israel and the Middle East peace Quartet, requesting them to support the creation of a World Bank account to channel aid to the Palestinians.
Quartet members -- the EU, the United Nations, the United States and Russia -- are to hold a meeting on Tuesday and, according to Ferrero-Waldner, the proposal will feature prominently on the agenda.
‘It should be discussed in the meeting of the Quartet,’ she said, referring to suggestions on how to continue assisting the Palestinian people in a way that would by-pass their Hamas led-government.
The EU has been the biggest donor to the Palestinians, many of whom live in poverty. It suspended direct aid to the government after Hamas took office in March, because the radical Islamic group refuses to renounce violence and recognize Israel.
Israel has also slapped heavy financial sanctions on Hamas, freezing the transfer of millions of dollars in revenues it collects on behalf of the Palestinians, which has compounded the financial crisis.
Ferrero-Waldner called on Israel to release those funds.
‘We have been very clear. We have not been biased. They should pay the customs and taxes to the Palestinians,’ she said.
In total the EU provides around 500 million euros annually to the Palestinians -- half from the commission and half from the member states.
Earlier Saturday, the office of Palestinian Authority president Mahmoud Abbas said it had received a 10 million dollar grant from Russia.
The funds have been earmarked to cover debts and finance projects in the health and education sectors, a statement said.
The funds will not be funnelled through the Palestinian ministries, although the finance ministry had given its approval for the transfer of the funds, the statement said.
Russia has taken a softer stance than the United States and the European Union, saying that denying aid to the Palestinians because of Hamas's participation in the government was a mistake.