Arab funds 'may get stuck in Israeli financial network'

Doha: Financial pledges by Arab states to the Palestinian government cannot be fulfilled due to Israeli control of the fund flow, a top Palestinian official said.

Professor Asad Abdul Rahman, minister of the Palestine Liberation Organisation (PLO) and executive chairman of the Palestine International Institute, said not all Arab countries which pledged financial aid kept up their word.

However, he also said "sincere financial commitments" from the region will not reach their destination without Israel's consent.

"Some pledges from Arab countries were mere words, some others were sincere, but they cannot be fulfilled without passing through the Israeli financial network. Therefore also those who want to donate, cannot do so. This is part of the Israeli punishment for electing Hamas."

In an interview with Gulf News during a recent visit to Qatar, Abdul Rahman said the European Union has "overreacted" with regard to the decision of withholding aid until Hamas recognises Israel.

He said the Palestinian government should be given more time to decide as to their political stand towards Israel.

"The EU is overreacting. Generally you do not ask a political party to recognise a state. The PLO that represents all the Palestinians has already recognised Israel," he said.

"Hamas needs time and I agree with the optimism of President Mahmoud Abbas, who believes that Hamas would ultimately change its views. To withhold aid would only result in a collective punishment of the Palestinian people," he said.

"We do not agree with the political stance of Hamas, but that has been the choice of our people within the territories and that decision must be respected."

Asked whether international concerns that Hamas could seek aid from Iran and ultimately lead to a further Iranian involvement in the issue, Abdul Rahman could not rule out such possibility.