
British support will help avert a financial crisis for the Palestinian Authority (PA) which would jeopardize critical peace talks, International Development Minister Alan Duncan announced Wednesday. The latest projections from the International Monetary Fund suggest the PA faces a shortfall of $200 million in its everyday running costs for the rest of this year. A one-off contribution of £7.5 million from the UK will enable the PA to pay its staff to carry out its work, according to statement by the Department for International Development (DFID). The PA is responsible for ensuring the strong and accountable running of basic services for Palestinian people, ranging from primary education to measles immunization programs. It also supports the very poorest to ensure they can meet their most basic needs. Any disruption to the PA’s ability to provide these key services and to maintain living standards for the Palestinian people risks weakening its position at the negotiating table. This, in turn, could jeopardize the progress of the talks, added the statement. “The Middle East peace talks offer the best chance for peace and security in a very long time, but we are at a critical point,” said Duncan. He added: “At this extraordinary time, extraordinary efforts are needed. We already provide regular funding to the Palestinian Authority, but this one-off boost will help ensure that the Palestinian leadership can get on with the business of meeting ordinary people’s basic needs, and not be diverted from negotiating a successful agreement.” Duncan expressed hope that “other donors will now follow our lead and step up to help meet the funding shortfall with predictable, regular financial support for the PA. The ultimate goal is a viable, independent Palestinian state living in peace and prosperity alongside a secure Israel.” The UK’s continued direct financial support will help the PA’s Prime Minister Rami Hamdallah in ensuring that the salaries of Palestinian public employees are paid in full and on time. The PA has demonstrated that it is capable of running an effective government and providing security for its people.
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