ISTANBUL

Israel has decided to confiscate an additional $90 million from the Palestinian Authority's tax revenues and transfer the money to the families of Israelis allegedly killed in attacks by Palestinians, according to a report Monday by TV7 Israel News.

The report said the Israeli Finance Ministry took the decision to prevent the Palestinian Authority from “continuing to reward terrorists and murderers” and to redirect the funds to “terror victims” and their families.

In a post on his X account, Israeli Finance Minister Bezalel Smotrich argued that the decision to redirect the funds to “victims of terror” was fair and moral.

“This is a necessary step in our national war. We will not allow the Palestinian Authority to promote terrorism,” he said.

The Palestinian government uses tax revenues to pay the salaries of public employees, which account for 65% of total state revenues.

Since 2019, however, Israel has decided to cut 600 million shekels ($168 million) annually, citing monthly allowances provided by the Palestinian Authority to prisoners and ex-prisoners.

The figure has subsequently increased to an average of $195 million annually.

Since November 2021, the Palestinian Authority has been unable to pay the salaries of public employees in full.

Occupied Palestine remains dependent on Israel for its foreign trade, with almost all Palestinian imports and exports coming from Israel or Israeli-controlled points.

Israel has been withholding customs duties collected on behalf of the Palestinian government for months.