JERUSALEM 

White House national security adviser Jake Sullivan will pressure Israel to transfer withheld tax revenues to the Palestinian Authority, according to Israeli media on Thursday.

Sullivan is expected to visit Israel this weekend as part of a regional tour that also includes Saudi Arabia.

Israeli public broadcaster KAN reported that US officials have piled pressure on Tel Aviv to transfer the tax money to the Ramallah-based authority.

Senior US officials warned that failure to transfer the money would “cause an acute economic crisis” in the West Bank and could inflame tensions, KAN said.

The Israeli Finance Ministry blocked tax revenues owed to the Palestinian Authority for this month, putting the sum at 170-200 million shekels ($46-54 million).

According to the broadcaster, far-right Finance Minister Bezalel Smotrich plans to use the withheld Palestinian funds to rebuild Israeli residential communities near the border with the Gaza Strip.

The tax revenues – known in Palestine and Israel as maqasa – are collected by the Israeli government on behalf of the Palestinian Authority on Palestinian imports and exports and Israel in return earns a commission of 3%.

The revenues are estimated to total around $188 million every month and represent the main source of income for the Palestinian Authority.

*Writing by Ahmed Asmar