Advertisement

Palestinian leaders cancel tax hikes amid protests

Share

This article was originally on a blog post platform and may be missing photos, graphics or links. See About archive blog posts.


JERUSALEM -- Responding to violent protests in several West Bank cities, the Palestinian Authority said Tuesday it would cancel planned tax hikes on cooking gas, fuel and other commodities.

Rising consumer prices in recent months and the authority’s ongoing financial crunch sparked clashes Monday between protesters and Palestinian security officers.

Advertisement

After an emergency cabinet meeting Tuesday, Prime Minister Salam Fayyad said he would offset the lost tax revenue by slashing salaries of top government ministers and other senior officials. He also promised the government would pay partial salaries by next week to government employees who are still awaiting their August paychecks.

Due in part to a drop in international aid over the past two years, the Palestinian Authority is struggling with a monthly deficit of $100 million. Among those nations that have not delivered promised aid is the United States, which pledged $200 million.

Israel has also been alarmed by the demonstrations, which some fear could grow into another uprising against Israel’s occupation of the West Bank. According to a report on Israel Radio, Israeli officials are considering loaning money to the Palestinian Authority or moving up the delivery of monthly tax receipts that Israeli port officials collect on behalf of the Palestinians.

ALSO:

China sends patrol ships to islands at center of Japan dispute

‘Get lost, you rich idiot!’ French howl as tycoon eyes Belgium

Advertisement

3 Afghans killed, NATO chopper destroyed in attack on U.S.-run base

--Edmund Sanders

Advertisement