Media coverage
Quds Net · 2017-04-05
Economic expert and PalThink director Omar Shaban said the government's decision to cut 30% from the salaries of Palestinian National Authority employees in the Gaza Strip came suddenly and without prior explanation, and applied only to Gaza employees, raising doubts about its reasons and credibility. He warned that the move would have serious repercussions for the Authority’s relationship with Gaza, deepen economic and emotional division, and harm tens of thousands of families amid unemployment, the blockade, and slow reconstruction. He also called on the Ministry of Finance to seriously reorder spending priorities instead of placing the burden of the chronic financial crisis on employees alone.
Economic expert and PalThink director Omar Shaban said the government's decision to cut 30% from the salaries of Palestinian National Authority employees in the Gaza Strip came suddenly and without prior explanation, and applied only to Gaza employees, raising doubts about its reasons and credibili…
Economic expert and Director of "PalThink," Omar Shaban, said: "The government's decision to deduct 30% from the salaries of National Authority employees in the Gaza Strip came as a surprise and without prior clarification, and is limited to employees in the Gaza Strip, which places the decision under serious suspicion regarding its credibility and reasons."
Shaban added in a statement: "This decision will have serious repercussions on the relationship of the Authority and its executive, legislative, and political structures with the Gaza Strip," noting that this decision will reinforce the growing feeling that the Gaza Strip is no longer on the ladder of priorities of the National Authority, despite all statements claiming otherwise.
He continued: "This decision completely contradicts the statements of the President and the Prime Minister that the Authority and the government will not abandon the Gaza Strip, which indicates a state of disharmony within the corridors of the Palestinian government in how to deal with the Gaza Strip."
Shaban pointed out that this decision affects tens of thousands of families who depend on salaries as a source of income to meet living requirements amid the very harsh economic conditions suffered by the Strip, including unemployment, siege, and the slow pace of reconstruction.
He said: "The question always raised is why does the government hasten to penalize its employees and apply austerity plans to them, while leaving other expenditure items that fall within entertainment and non-essential expenses?"
The economic expert explained that the financial crisis of the National Authority is chronic and recurs from time to time, without ever once pausing to examine the methodology of management in the Ministry of Finance and other related institutions.
Shaban noted several matters, namely the renewal of the telecommunications license for $300 million several months ago, in addition to the fact that the Gaza Strip Reconstruction Conference in Cairo on October 12, 2014 allocated half of donor support to support the general budget. He also noted that since mid-2013, with the halt of the tunnel trade, all purchases of the Gaza Strip have been made through the National Authority, which has contributed very significantly to increasing net clearance revenues with the Israeli side, which reached 800 million shekels monthly, with purchases by the Gaza Strip contributing more than 30% of that.
He indicated that the decision does not serve the interests of the National Authority or national unity, and deepens the state of economic and emotional division and widens the gap in living standards in the already poor Gaza Strip compared to living standards in general.
The expert called on the Palestinian Authority not to submit to the orientations of some donor countries, calling on the Ministry of Finance to work seriously on rearranging spending and expenditure priorities in a way that enables public sector employees and their families to live with dignity.
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