The Israel Project 11-Dec-13
Israel's left-leaning Haaretz revealed this evening that U.S. officials have privately conceded to Israeli counterparts that the Obama administration "greatly underestimated the economic benefits Tehran would reap" from the recently signed Geneva accord between the P5+1 global powers and Iran, and that the Islamic republic stands to receive a windfall totaling roughly $20 billion from international concessions, rather than the $6 to $7 billion that administration officials had repeatedly quoted to lawmakers, allies, and journalists. Mark Dubowitz, the executive director of Foundation for Defense of Democracies (FDD), had pegged Geneva concessions as totaling roughly $20 billion even before the deal was announced. Dubowitz and Jonathan Schanzer, the latter being FDD's vice president for research, more recently outlined how the White House had failed to take into account the "the total impact" that suspending automobile sanctions would have on the Iranian economy, and that U.S. officials had specifically neglected the value of "cars produced for the domestic market, wages paid, and other economic activity." Israeli assessments had similarly far exceeded the administration's public estimates. White House figures and their supporters had belittled such concerns, declaring that the assessments of U.S. analysts and Israeli diplomats were based on incomplete knowledge, and at one point going so far as to tell senators to ignore Israeli estimations. It is not yet clear to what degree the dual dynamic - admitting that sanctions relief will come in at over twice their estimates, after having blasted critics who predicted as much for grossly exaggerating - will erodge the credibility of administration assurances regarding Iran.
MPA-EU:131211:(12-DEC-13):Report: Audit criticises EU funding for non-working PA officials
Britain Israel Communications and Research Centre (BICOM). 11-Dec-13
According to a report in this morning’s Financial Times, an
EU court of auditors report to be published this week will
criticise Europe’s management of aid to the Palestinian
Authority (PA). In particular it highlights the payment of
salaries for PA workers in the Gaza Strip who have stopped
working since the territory came under the direct rule of
Hamas in 2007.
The EU has spent €2.9 billion in projects in the Palestinian
Territories since 2007, including €1.4 billion directly
subsidising salaries, as part of its Pegase funding
programme. The EU and its member states are the largest
source of aid to the PA.
The EU commission has defended its payments by
highlighting the political sensitivity of cancelling them, and
the potential negative impact on the Gazan economy. The
economy has suffered greatly since the Hamas takeover led
to severe restrictions on access and movement from both
Israel and Egypt. According to the audit however, “the
payroll system [is] prone to corruption by actors at all
levels.”
The Palestinian Authority’s pay roll and wage bill, and the
issue of corruption, has long been a source of concern.
Former Palestinian Prime Minister Salam Fayyad was
credited internationally with bringing down the PA’s wasted
expenditure and tightening its financial management, until
clashes with PA President Mahmoud Abbas led to his
resignation in April.
Israeli officials have pointed out that the PA uses
international funds to pay generous salaries and social
support directly to Palestinians serving sentences in Israeli
prisons for terror offences.
Israel's left-leaning Haaretz revealed this evening that U.S. officials have privately conceded to Israeli counterparts that the Obama administration "greatly underestimated the economic benefits Tehran would reap" from the recently signed Geneva accord between the P5+1 global powers and Iran, and that the Islamic republic stands to receive a windfall totaling roughly $20 billion from international concessions, rather than the $6 to $7 billion that administration officials had repeatedly quoted to lawmakers, allies, and journalists. Mark Dubowitz, the executive director of Foundation for Defense of Democracies (FDD), had pegged Geneva concessions as totaling roughly $20 billion even before the deal was announced. Dubowitz and Jonathan Schanzer, the latter being FDD's vice president for research, more recently outlined how the White House had failed to take into account the "the total impact" that suspending automobile sanctions would have on the Iranian economy, and that U.S. officials had specifically neglected the value of "cars produced for the domestic market, wages paid, and other economic activity." Israeli assessments had similarly far exceeded the administration's public estimates. White House figures and their supporters had belittled such concerns, declaring that the assessments of U.S. analysts and Israeli diplomats were based on incomplete knowledge, and at one point going so far as to tell senators to ignore Israeli estimations. It is not yet clear to what degree the dual dynamic - admitting that sanctions relief will come in at over twice their estimates, after having blasted critics who predicted as much for grossly exaggerating - will erodge the credibility of administration assurances regarding Iran.
MPA-EU:131211:(12-DEC-13):Report: Audit criticises EU funding for non-working PA officials
Britain Israel Communications and Research Centre (BICOM). 11-Dec-13
According to a report in this morning’s Financial Times, an
EU court of auditors report to be published this week will
criticise Europe’s management of aid to the Palestinian
Authority (PA). In particular it highlights the payment of
salaries for PA workers in the Gaza Strip who have stopped
working since the territory came under the direct rule of
Hamas in 2007.
The EU has spent €2.9 billion in projects in the Palestinian
Territories since 2007, including €1.4 billion directly
subsidising salaries, as part of its Pegase funding
programme. The EU and its member states are the largest
source of aid to the PA.
The EU commission has defended its payments by
highlighting the political sensitivity of cancelling them, and
the potential negative impact on the Gazan economy. The
economy has suffered greatly since the Hamas takeover led
to severe restrictions on access and movement from both
Israel and Egypt. According to the audit however, “the
payroll system [is] prone to corruption by actors at all
levels.”
The Palestinian Authority’s pay roll and wage bill, and the
issue of corruption, has long been a source of concern.
Former Palestinian Prime Minister Salam Fayyad was
credited internationally with bringing down the PA’s wasted
expenditure and tightening its financial management, until
clashes with PA President Mahmoud Abbas led to his
resignation in April.
Israeli officials have pointed out that the PA uses
international funds to pay generous salaries and social
support directly to Palestinians serving sentences in Israeli
prisons for terror offences.
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