Freed US aid to help ease crisis: Palestinian PM
Ramallah: Palestinian Prime Minister Salam Fayyad said on Saturday the release of $88.6 million in development funds by US lawmakers would help ease a fiscal crisis in the aid-dependant Palestinian economy.
"This is very important in order to help us deal with the economic crisis," Fayyad told reporters in Ramallah.
In August Republican lawmakers put a hold on $147 million in US assistance because they objected to a Palestinian push for recognition at the United Nations, arguing that Palestinian statehood should be achieved through peace talks with Israel.
On Friday, US Representative Kay Granger announced she was ready for the entire sum to go to the Palestinians. But the other representative who had a hold on the funds, Ileana Ros-Lehtinen, limited the release to $88.6 million.
Fayyad said he hoped that the whole amount, meant to support development projects, would be released.
"The entire sum must be sent in order to begin allocating spending for the year 2011 and this is important in order to support the Palestinian Authority`s budget," Fayyad said.
There have been growing warnings, from the International Monetary Fund too, that the Palestinians are facing a deepening financial crisis due to a drop in aid from Western backers and wealthy Gulf states as well as Israeli restrictions on trade.
The IMF urged donors last week to meet their aid pledges to the Palestinian Authority in the Israeli-occupied West Bank, which has a projected 2012 budget deficit of $1.1 billion.
More from India
More from World
More from Sports
More from Entertaiment
- RJD strongman Shahabuddin brought to Delhi
- Former CM Panneerselvam demands secret voting in Tamil Nadu Assembly
- UP elections in third phase; voting on 69 seats of 12 districts
- Exclusive: In conversation with Rajnath Singh, Union Home Minister
- DMK, Congress will vote against government formation in Tamil Nadu
- 'BJP is winning by absolute majority in Uttar Pradesh Assembly elections'
- Pakistan Senate passes Hindu Marriage Bill
- This video of Brett Lee's 143m six is taking internet by storm – Watch Video
- India can meet its energy requirements from Moon by 2030, says ISRO
- J&K: 26 soldiers martyred, 22 militants killed as Army steps up security in Valley