The Ministry of Finance confirmed that the Israeli occupation forces have been withholding approximately 7 billion shekels in clearance funds (Palestinian tax revenues) from 2019 until last February, refusing to transfer them to the State of Palestine.
The ministry explained in a statement on Thursday that these deductions were made under various pretexts, including:
- 2 billion shekels as part of the so-called Gaza Strip allocations.
- 3.7 billion shekels were deducted under the item of allocations for families of martyrs and prisoners.
- 1.2 billion shekels were deducted as departure tax fees through the crossings to Jordan.
The ministry affirmed that since the beginning of the Israeli aggression against the Palestinian people in October 2023, the occupying forces have escalated their financial measures, doubling the value of deductions from clearance revenues to more than 50% of their total monthly value, and deliberately delaying their transfers in an unprecedented manner.
She explained that while these revenues used to be transferred during the first week of each month, they are now disbursed after the middle of the month, further deepening the Palestinian government's financial crisis.
The ministry noted that official Israeli sources have recently begun reporting on deductions of large sums of money held as compensation for "the families of Israeli dead or wounded," holding Palestinian officials responsible for this by seizing unspecified sums of our withheld funds.
She noted that this delay directly impacted the Palestinian government's ability to pay public employee salaries on time and hampered its ability to meet other financial obligations, exacerbating the economic crisis and increasing financial pressures.
She said that the Ministry of Finance's data indicates that the occupation deducts monthly:
275 million shekels, an amount similar to what the Palestinian government provides to our people in the Gaza Strip.
52.6 million shekels in deductions under the pretext of allowances for families of martyrs and prisoners.
The Ministry of Finance stated that the total Israeli deductions from clearance revenues amounted to 20.6 billion shekels from 2012 until last February, distributed as follows:
12.5 billion shekels for electricity costs
4 billion shekels for water purchases
1.3 billion shekels for sewage services
3 billion shekels for medical services
The Ministry of Finance stressed that, in light of these alarming figures, Israel's continued withholding of clearance revenues and illegal deductions constitutes a flagrant violation of all signed agreements and directly impacts the Palestinian economy and citizens' livelihoods.
She noted that the Palestinian government, in cooperation with international partners and relevant parties, continues to pressure for the release of our withheld funds and an end to the policy of illegal deductions from our people's funds.
The ministry noted that these Israeli measures are part of the comprehensive aggression against our people and our official institutions, emphasizing that the Palestinian government will do everything in its power to strengthen the steadfastness of our people.
She noted the adoption of a fiscal rationalization policy for the 2025 budget, which complements the government's efforts in its financial and administrative reform program, which included more than 50 reform measures in less than a year since the last Palestinian government took office.
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Finance Ministry: Israeli occupation is withholding 7 billion shekels of clearance funds.