Finance:Palestinian clearance funds held by Israel

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Palestinian clearance funds are revenues belonging to the Palestinian Authority that are held by Israel. These funds consist of taxes, fees, and customs duties imposed on goods and merchandise imported into Palestine, or transiting through Israel and border crossings, in accordance with the Oslo Accords.[1][2]

Description

These are funds collected monthly by the Israeli Ministry of Finance on behalf of the Palestinian Authority and then transferred to the Palestinian Ministry of Finance and Treasury.[3]

Clearance Rate

The clearance rate, including taxes and revenues, ranges between 700 and 800 million shekels per month, with a 3% commission fee deducted by Israel at the end of each month.[4]

Importance of Clearance Funds

  • These funds are primarily used to pay salaries of public employees.[5]
  • They constitute a significant portion of the Palestinian Authority’s income.
  • They help cover expenses and finance essential government services across various sectors in the Palestinian state.[6]

See also

  • Protocol on Economic Relations
  • Taxation in Palestine
  • Oslo Accords

References

  1. ↑ "Israeli occupation blocks transfer of NIS 7 Billion (USD 1.9 billion) in Palestinian clearance revenues" (in en-GB). https://www.palestine-australia.com/highlights/news/2025/israeli-occupation-blocks-transfer-of-nis-7-billion-in-palestinian-clearance-revenues/. 
  2. ↑ "للشهر الرابع إسرائيل توقف تحويل أموال المقاصة للفلسطينيين" (in ar). https://www.aljazeera.net/ebusiness/2025/9/1/israel-revenues-palestinian-authority. 
  3. ↑ "Israel has been withholding nearly $2B in Palestinian tax revenues for 6 years: Ministry". https://www.aa.com.tr/en/middle-east/israel-has-been-withholding-nearly-2b-in-palestinian-tax-revenues-for-6-years-ministry/3515931. 
  4. ↑ "مقام - موسوعة القوانين وأحكام المحاكم الفلسطينية". https://maqam.najah.edu/blog/articles/3/. 
  5. ↑ "Palestinian Cabinet Warns National Institutions May Be Unable to Sustain Public Services Amid Israel's Continued Illegal Withholding of Palestinian Clearance Revenues" (in en-GB). https://www.palestine-australia.com/highlights/news/2025/palestinian-cabinet-warns-national-institutions-may-be-unable-to-sustain-public-services-amid-israels-continued-illegal-withholding-of-palestinian-clearance-revenues/. 
  6. ↑ "Finance Ministry: Israel withholds approximately $1.917 billion of clearance tax revenues". https://english.wafa.ps/Pages/Details/155767. 

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