EU budgetary assistance to Palestinian Authority

The European Commission has approved, the continuation of a direct Budgetary Assistance to the Palestinian Authority (PA) for an amount of € 50.000.000. The main objective of this assistance is to help the PA to deal with problems encountered by the interruption of monthly transfers of tax receipts (VAT and customs duties) by the Government of Israel (GoI) following the outbreak of the Intifada in the Palestinian Territories in October 2000. In particular, these operations are designed to help the PA to secure its basic expenditures with respect to public service salaries, social, educational, health and core functions. The support is paid monthly in equal installments of € 10 million over the period March to July 2002.

Disbursements are made upon compliance of conditionalities mainly relating to the reinforcement of transparency in PA's public finances (consolidation of accounts), the strengthening of the viable management of the budget (containment of expenditure and particularly of payroll) and progress regards overall financial and administrative reform and legal reform.

The above-mentioned conditions are monitored by the IMF.

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• EU financial aid for Palestinian reform efforts (28/10/2002)
• EU Presidency Statement - The Middle East (13/6/2002)
• EU humanitarian aid for Palestinian Territories (8/5/2002)
• Declaración Conjunta de la UE, Estados Unidos, Rusia y las Naciones Unidas sobre Oriente Medio  (10/4/2002)
• EU food aid to the Palestinian populations (10/4/2002)
• Joint Statement by the EU, the US, Russia and the UN on the Middle East  (10/4/2002)
• Intervención en el Consejo de Seguridad sobre la situación en el Oriente Medio, incluida la cuestión Palestina (9/4/2002)
• EU humanitarian activities in the Palestinian Territories (8/4/2002)
• President Prodi Statement on the Middle East (3/4/2002)