Under the 1994 Paris Protocol Israel collects customs and VAT due to the PA and transfers them monthly. Since May 2025 it has transferred none, the World Bank reports; the PA pays partial salaries, and a June 2026 Knesset law puts yearly deductions into statute ahead of a new Israeli government.
Israel and the Levant relied on economically by Palestinian Authority. A directional arrangement: the two parties do not hold the same position in it. Authored once and read from both ends.
L’arrangement
- Statut
- SuspendedFormally or effectively suspended by at least one party, without having been ended.Last material change: 2026-06-08.
- Ce qu’il couvre
- FinancesCommerceCatégories que l’arrangement est documenté comme incluant. Ce n’est pas une mesure : une relation qui en couvre davantage est décrite plus en détail, non tenue plus fermement.
Synthèse
Israel collects customs, VAT and purchase tax on goods destined for the Palestinian territories and passes them to the PA as clearance revenue, historically its largest source of income, minus a handling fee and deductions. The World Bank's May 2026 monitoring report states that clearance revenues have been "suspended completely since May 2025". The PA paid public wages at 50–70 per cent of the commitment basis through 2025 and a flat NIS 2,000 to all employees for January 2026, three months late. The 2025 deficit was $1.03bn before grants, with a financing gap of about $1.3bn after Israeli deductions, 7.7 per cent of GDP; the Bank puts the 2026 gap at $3.8bn if clearance stays halted. It notes that transfers and deductions "remain disputed" and that no reconciled accounting exists. Israeli finance-ministry statements still describe a monthly cycle of collection, deduction and freezing; on 27 April 2026 the ministry reported deducting about NIS 590m of more than NIS 740m collected against PA utility debts and freezing the rest. On 8 June 2026 the Knesset passed, by 29 votes to 5, an amendment to the 2018 Freezing Law under which an additional yearly deduction is set by the security cabinet on the finance minister's report. The PA Finance Ministry called September 2026 the 17th consecutive month of withholding. The correspondent-banking link between Israeli and Palestinian banks, which runs on Israeli finance-ministry indemnity letters, is to continue to the end of 2026, according to the Bank of Israel's deputy governor; the World Bank notes extensions recently granted two weeks at a time. The PLO Executive Committee put the withheld total at about $7bn when it postponed Palestinian elections on 10 October 2026.
Pourquoi c’est important
This is the PA's most acute constraint and the clearest lever any Israeli government holds over it. Two decisions fall to the government formed after the election of 27 October 2026: the first yearly deduction under the new law, and whether the banking channel survives the end of 2026.
Événements associés
- Création de l’Autorité palestinienne, avec le système de recettes de dédouanement du Protocole de Paris 29 avr. – 4 mai 1994
Political · Economic
- Israël suspend les transferts de recettes de dédouanement à l’Autorité palestinienne Mai 2025
Economic · Political
- La Knesset inscrit dans la loi les prélèvements sur les recettes de dédouanement palestiniennes 8 juin 2026
Economic · Political
- Les élections présidentielle et législatives palestiniennes sont reportées à septembre 2027 10 oct. 2026
Politique
Ce qui reste inconnu
- The 8 June 2026 law is an amendment to the 2018 Freezing Law, bill no. 1124, published on 10 June 2026, according to the Knesset Shkufa tracker of Knesset data; its English title is a translation, and the Reshumot text has not been read. No deduction amount has yet been set under it.
- The PA's cumulative "withheld" figure and Israeli statements of amounts deducted or frozen measure different things and are not compared.
- The correspondent-banking continuation rests on a reported interview; no written Bank of Israel or finance-ministry instrument was found, and its length and form are not established.
- Whether the Norwegian holding arrangement for the Gaza share still operates is not established.
Lectures que les éléments permettent aussi
- Israel's finance ministry presents the freeze as a response to the PA's international moves and its payments to prisoners' families; the PA and donors describe it as collective financial pressure. Both are attributed.
- Partial salaries measure fiscal stress, not institutional collapse; the PA continues to function on donor support, which the World Bank put at $938m in 2025.
Figure ici parce que l’évaluation propre à la fiche n’est pas la seule que ses sources permettent — et non comme une réserve sur l’évaluation ci-dessus.
Questions Watch que cette relation concerne
Questions analytiques permanentes dont les éléments passent par cette relation, chacune avec sa dernière revue. Dérivées de l’objet Watch, jamais reformulées ici.
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Évalué au — 2026-10-10 Dernière revue — 2026-10-12