PNA Criticizes European and US Suspension of Assistance to Palestinian Government
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GAZA, April 8, 2006 (IPC + Agencies) [Official PA website]- - President
Mahmoud Abbas announced his rejection to the European and American
declaration of suspending financial assistance of the new Palestinian
government, following a meeting with the Prime Minister Ismail Haniya and a
number of other ministers.

"Any punishment of the Palestinian people for his democratic choice is
refused by us," President Abbas said, adding that the government formed by
Hamas movement is one elected by the Palestinian Legislative Council (PLC).

Commenting on the reports that some countries wish to funnel their support
through the presidency establishment, the President said no one has
discussed this matter with him so far "and we only heard about it in the
media."

On his part, the government spokesman Ghazi Hamad asserted that this
decision is an extortion that harms the interests of civilians, criticizing
the punishment of the Palestinian people for voting Hamas in the last
parliamentary elections.

Hamad added that the Palestinian National Authority (PNA) is in need of
$60-80 million to cover the monthly salaries of employees that were not yet
paid, noting that the European Union had been offering $600 million every
year to the PNA.

In Brussels, the spokesperson for the European Commissioner for External
Relations Emma Udwin declared on Friday that Europe will suspend its
assistance "in the meantime" for the PNA after Hamas movement formed the
government.

"We will not offer in the current time any funds to or through the
Palestinian Authority," Udwin said, pointing out that this procedure will be
followed until a decision by the European foreign ministers is made.

Next Monday, the European foreign ministers will meet in Luxembourg in order
to discuss the suspension of direct financial assistance to the PNA..

A British official said yesterday that the European Commission will suspend
assistance to the Palestinian government because it didn't recognize Israel
or renounce violence, adding that these are the international community's
demands for Hamas to resume assistance.

The European Commission offers an annual amount of EUR250 million to the
Palestinians, half of them almost goes directly to the PNA. The EU member
states offer an additional EUR250 million each year.

At the same context, the spokesman for the United States Department of
State, Sean McCormack, said that the US government has also decided to
suspend its direct assistance to the Palestinian government, but increased
by 57 percent its humanitarian assistance offered through the United
Nations.

"Because the new Hamas-led Palestinian government has failed to accept the
Quartet principles of nonviolence, recognition of Israel and respect for
previous agreements between the parties, the United States is suspending
assistance to the Palestinian government's cabinet and ministries,"
McCormack said, quoting a statement by the US Secretary of State Condoleezza
Rice.

He added that in return, the US will increase the humanitarian assistance it
offers in the Palestinian territories to $245 million, which will be
"administered through the United Nations Relief and Works Agency and
non-Palestinian Authority actors, including local and international
nongovernmental organizations."

On the other hand, a committee in the US Senate retracted the imposition of
restrictions in the American assistance to the Hamas-led Palestinian
Authority, and approved a bill that could allow the US President George W.
Bush to find methods to offer limited assistance.

The Senate Committee on Foreign Relations approved a law to suspend indirect
humanitarian assistance to the Palestinian Authority and limit it to those
to Non-Governmental Organizations and restrict diplomatic communication with
representatives of Hamas movement, which is considered a terrorist
organization by Washington.

However, the law offers concessions and decreases the timeframe for
informing the Congress in order to give the administration more flexibility.