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'PA can't keep blaming everyone else for its economic failure'

U.S. special envoy Jason Greenblatt levels harsh criticism at the Palestinian Authority, says its own actions are the cause of its dire economic situation. Greenblatt further blasts Ramallah for prioritizing terrorists' stipends, cabinet wage hike over the welfare of the Palestinians people.

by  Shachar Kleiman , Yoni Hersch , Daniel Siryoti , Associated Press and Israel Hayom Staff
Published on  06-06-2019 12:03
Last modified: 06-07-2019 07:17
'PA can't keep blaming everyone else for its economic failure'AFP/Jaafar Ashtiyeh

U.S. Special Representative for International Negotiations Jason Greenblatt | Photo: AFP/Jaafar Ashtiyeh

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U.S. Special Representative for International Negotiations Jason Greenblatt on Wednesday leveled harsh criticism at the Palestinian Authority, which he said should stop blaming external forces for its economic failure.

Commenting on an interview Palestinian Authority Prime Minister Muhammad Shtayyeh gave The New York Times, in which he warned that the Ramallah administration was on the brink of collapse, Greenblatt tweeted, "PM Shtayyeh is wrong, the PA isn't 'in a collapsing situation,' the PA caused the situation. Time for the PA to step-up & take responsibility for their people & the economy. The PA can't continue to blame the U.S. & everyone else for a situation they caused."

He further lambasted PA President Mahmoud Abbas for prioritizing terrorists' stipends and salary hikes for PA ministers over the welfare of the Palestinian people.

The PA routinely spends hundreds of millions of dollars on payments to terrorists imprisoned in Israel and to the families of terrorists killed while carrying out attacks against Israel. In 2017, for example, Ramallah spent $358 million on payments to terrorists and their families. The figure represents 7% of the PA's total budget for 2017 and about 20% of the foreign aid it receives.

In July 2018, the Israeli government passed a law deducting terrorists' salaries from taxes Israel collects on behalf of the PA.

Under the 1993 Oslo Accords, a mechanism was set up by which Israel collects taxes – value added tax and customs fees – on behalf of the PA, to the tune of about $100 million a month, and transfers the money to the PA.

Once the legislation came into effect, Abbas declared that "even if we are bankrupt and there are only a few hundreds of millions [of shekels] left in the PA's coffers, we will continue to pay the salaries of the prisoners and the shahids [martyrs]."

To this, Greenblatt tweeted: "Unbelievable: Paying murderers & their families is more important than Palestinian children to the PA, all while some PA officials still receive treatment in Israel."

He further blasted Abbas' decision to give his minister a raise, tweeting: "Wow. In 2017, Palestinian Cabinet secretly gave itself lavish payouts/perks incl. 67% salary hike (retro to 2014), while everyday Palestinians struggle due to a PA self-imposed financial crisis! Where's the care/concern about the people?"

Earlier this week, it was revealed that the PA cabinet gave its members a 67% salary hike in 2017, all while the cash-strapped government in Ramallah was slashing its employees' salaries.

According to one leaked document, the monthly salaries for Palestinian cabinet ministers spiked from $3,000 to $5,000, while the prime minister's salary was raised to $6,000.

The pay raise was made retroactive to 2014, when the cabinet took office, giving the ministers an extra bonus of tens of thousands of dollars.

The benefits did not end there. Ministers who live outside Ramallah, the seat of the PA, received $10,000 a year to rent a house there, another document showed. Officials who already owned Ramallah homes also reaped the lucrative bonus. And in an extra boost, the government inflated the exchange rate, giving them a roughly 17% premium when converting the salaries to Israeli shekels. Cabinet members already enjoy government compensation for personal drivers and international travel expenses.

The report renewed outrage among Palestinians who have long seen their leadership as out of touch and rife with corruption.

The leaked documents have sparked widespread outrage on Palestinian social media, with critics branding the government a "farm" or "shop" for top officials. Amid the outrage, the PA has been forced to respond.

Shtayyeh, a longtime adviser to Abbas, has suspended the pay raises and referred the issue to Abbas "to review it and take legal measures." While the issue is investigated, ministers will receive half their salaries, like most other government employees, according to government spokesman Ibrahim Milhim.

Former Prime Minister Rami Hamdallah, whose technocratic government enacted the benefits, defended them, said in a statement: "Cabinet ministers requested the raise in 2017 from President Abbas, who approved it while taking into consideration the rising costs of living."

"The cabinet members behaved as if the government is their private shop and they can take as much as they want without being held accountable," said political commentator Ehab Jareri.

"The Palestinian Authority lost the trust of people a long time ago because of its unlawful practices," said analyst Jihad Harb. After the latest leaks, he added, the government looks "very vulnerable and shaken."

Tags: IsraelJAson GreenblattPalestinian Authority

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