American Bill to Prohibit PA Aid

(Ha'aretz) The United States Senate approved a new bill that empowers the President to prevent any transfer of financial aid to PA institutions.

Last Friday, the US Senate completed the approval procedure for the Palestinian Anti Terror Act, 2006. According to the Bill, the PA will not be able to receive US support until it adheres to the 'three international demands': recognizing Israel, acknoledging previous agreements and dismantling of terror infrastructure. The Bill reflects the American hard line toward Hamas.

Seemingly, the American policy seems to serve Israeli interests of constraining the PA economically and politically. However, Re'ut Institute contends that in the long term, the American bear hug might narrow Israel's political flexibility.

Some implications of this policy may be:

  • The evolution of a humanitarian crisis in the PA, for which Israel will be held responsible.
  • Anarchy that might bring about the collapse of the PA, forcing Israel to assume responsibility over the territories.

  • Unlike the U.S, due to Israel's physical proximity to the PA it must maintain contact with the PA. Hence, should Israel, out of loyalty to the US adhere to its hardline, it may encounter political difficulties