{"id":611141,"date":"2026-09-09T22:30:12","date_gmt":"2026-09-09T22:30:12","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/611141\/"},"modified":"2026-09-09T22:30:12","modified_gmt":"2026-09-09T22:30:12","slug":"us-reps-warn-that-palestinian-authority-economic-crisis-would-stregthen-hamas","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/611141\/","title":{"rendered":"US reps. warn that Palestinian Authority economic crisis would stregthen Hamas"},"content":{"rendered":"<p>Six lawmakers, three Republicans and three Democrats, urged Secretary of State <a href=\"https:\/\/www.jpost.com\/tags\/marco-rubio\" target=\"_blank\" rel=\"nofollow noopener\">Marco Rubio<\/a> and Treasury Secretary Scott Bessent to work with Israel and the Palestinian Authority on mechanisms that would keep clearance revenues flowing while preventing funds from reaching terrorist organizations<\/p>\n<p>A bipartisan group of six members of Congress warned the <a href=\"https:\/\/www.jpost.com\/israel-news\/article-908025\" target=\"_blank\" rel=\"nofollow noopener\">Trump administration<\/a> on Wednesday that a fiscal collapse of the Palestinian Authority could create an opening for Hamas and other Iran-backed groups, and urged Washington to work with Israel to preserve the West Bank economy without weakening safeguards against terrorist financing.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">The effort is being led by Reps. Brad Schneider (D-Illinois) and Craig Goldman (R-Texas), who serve as co-chairs of the Congressional Abraham Accords Caucus. The letter was also signed by Republican Reps. Ann Wagner and Gus Bilirakis, and Democratic Reps. Debbie Wasserman Schultz and Jimmy Panetta.<\/p>\n<p><img alt=\"US President Donald\u00a0Trump\u00a0gestures as he delivers the State of the Union address in the House Chamber of the US Capitol in Washington, DC, US, February 24, 2026.\" loading=\"lazy\" width=\"822\" height=\"829\" decoding=\"async\" data-nimg=\"1\" style=\"color:transparent\" src=\"https:\/\/images.jpost.com\/image\/upload\/f_auto,fl_lossy\/c_fill,g_faces:center,h_537,w_822\/708146\"\/>US President Donald\u00a0Trump\u00a0gestures as he delivers the State of the Union address in the House Chamber of the US Capitol in Washington, DC, US, February 24, 2026. (credit: REUTERS\/Jessica Koscielniak\/Pool)<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">\u201cThe United States must confront and degrade terrorist organizations like Hamas and other Iran-backed actors that threaten US interests and our allies, but we must not unnecessarily destabilize the West Bank in the process,\u201d Schneider said.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">\u201cA functioning Palestinian economy promotes greater stability and increased possibility for progress towards peace,\u201d he added, calling on the United States to work with Israel and the PA on reforms that would allow clearance revenues to continue flowing while disrupting terrorist financing.<\/p>\n<p>US Reps. argue West Bank stability central to American foreign policy<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">Goldman similarly framed the issue through the lens of Israeli security.<\/p>\n<p>\u201cSupporting Israel\u2019s security and defeating terrorist groups is central to America\u2019s foreign policy,\u201d he said. \u201cEconomic instability in the <a href=\"https:\/\/www.jpost.com\/tags\/west-bank\" target=\"_blank\" rel=\"nofollow noopener\">West Bank<\/a> risks creating a vacuum that Hamas and other Iranian-backed terrorist organizations could exploit, further threatening Israel\u2019s security and undermining regional peace and integration.\u201d<\/p>\n<p>In their letter to Rubio and Bessent, the lawmakers said a <a href=\"https:\/\/www.jpost.com\/international\/article-908145\" target=\"_blank\" rel=\"nofollow noopener\">fiscal crisis<\/a> weakening the PA would create \u201cexactly the kind of vacuum\u201d Hamas and other Iran-backed actors seek to exploit for recruitment, weapons smuggling and the erosion of security cooperation with Israel.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">The lawmakers stressed that they recognize Israel\u2019s legitimate security concerns since October 7 and are not calling on Israel to ease its vigilance against terrorist financing.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">However, they warned that the continued withholding of billions of dollars in clearance revenues collected by Israel on behalf of the PA risks accelerating a broader fiscal collapse.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">Such an outcome, they wrote, \u201cwould serve the interests of extremist and Iran-backed groups, not Israel, nor the United States.\u201d<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">They urged Rubio and Bessent to work with Israel and the PA on \u201cpractical, security-conscious mechanisms\u201d that would allow clearance revenues to reach legitimate Palestinian institutions while ensuring that none of the funds are diverted to terrorist financing.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">At the same time, the lawmakers placed responsibility on the PA to continue reforms and anti-corruption measures, arguing that such steps are necessary for Israel to adopt what they described as responsible fiscal policies.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">The letter also addressed the PA\u2019s February 2025 decree restructuring its prisoner-payment system. The lawmakers noted that the State Department had welcomed the move as an apparently positive step, while also making clear that serious questions remain over whether the reforms satisfy the Taylor Force Act, which Congress passed in response to the PA\u2019s so-called \u201cpay for slay\u201d system.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">They praised the Trump administration for refusing to presume that the PA had complied with the law before sufficient evidence was presented.<\/p>\n<p>Is the PA heading towards an economic crisis?<\/p>\n<p>The lawmakers also warned against disruption to correspondent banking relationships between <a href=\"https:\/\/www.jpost.com\/middle-east\/article-906087\" target=\"_blank\" rel=\"nofollow noopener\">Israeli and Palestinian banks<\/a>. They noted that the State Department had welcomed Israel\u2019s extension of indemnification through the end of 2026 and had cautioned that destabilizing regulated banking channels could push transactions into cash and other unregulated systems, making efforts to combat money laundering and terrorist financing more difficult.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">Despite what the lawmakers described as the PA\u2019s \u201csignificant shortcomings and flaws,\u201d they argued that it \u201cremains the only current viable governing alternative to Hamas\u201d and therefore must play an essential role in regional stability and security.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">A PA fiscal collapse, they warned, would weaken security cooperation, disrupt essential public services, marginalize pragmatic Palestinian leadership in the West Bank and create additional openings for Hamas and other extremist groups.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">The six lawmakers concluded by asking Rubio and Bessent to continue efforts to preserve the viability of the West Bank economy while demanding accountability from Palestinian institutions.<\/p>\n<p class=\"article-paragraph-section article-body-paragraph\">They also requested a classified briefing when Congress returns to Washington on the progress the administration has made on the issue over the summer.<\/p>\n","protected":false},"excerpt":{"rendered":"Six lawmakers, three Republicans and three Democrats, urged Secretary of State Marco Rubio and Treasury Secretary Scott Bessent&hellip;\n","protected":false},"author":2,"featured_media":611142,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[54,51,85,46,11741,43,5243,2635,2488,77],"class_list":["post-611141","post","type-post","status-publish","format-standard","has-post-thumbnail","category-israel","tag-donald-trump","tag-hamas","tag-il","tag-israel","tag-marco-rubio","tag-news","tag-palestinian-authority","tag-scott-bessent","tag-trump-administration","tag-west-bank"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/611141","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=611141"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/611141\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/611142"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=611141"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=611141"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=611141"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}