The EU is preparing to go it alone and channel emergency funds to the Palestinians if talks with the US, Russia and United Nations on setting up an international mechanism for easing their financial plight fail this week, senior officials indicated at the weekend. Pressure for a swift agreement on supplying food and other aid directly to Palestinians as well as money to pay the salaries of health workers and teachers intensified when President Mahmoud Abbas and Ismail Haniyeh, prime minister of the Hamas-led government, failed to resolve the crisis over the weekend.On Saturday Mr Abbas's advisers said Hamas had again refused to change its policy towards Israel, renouncing violence, recognising the Jewish state and standing by past peace deals. The EU and US have reaffirmed that these are absolute conditions for dealing directly with the PA.
Benita Ferrero-Waldner, EU external affairs commissioner, who sanctioned the release of €120m in February, said a further €125m was blocked. "There might be some salaries paid for health and education but it's not yet clear and it might have to go through the World Bank." Saying the EU was "not abandoning the Palestinians", she insisted Israel should use the international mechanism if necessary to pay withheld tax and customs revenues worth €40m a month to the PA.