Why does the Palestinian Authority matter to Israel?

According to Israeli officials, the decision to help the PA is aimed at countering the influence in the West Bank of Iran, which backs both Hamas and Palestinian Islamic Jihad

 PA President Mahmoud Abbas. (photo credit: RONALDO SCHEMIDT/POOL/REUTERS)
PA President Mahmoud Abbas.
(photo credit: RONALDO SCHEMIDT/POOL/REUTERS)

On July 9, the Security Cabinet decided by a majority of eight to one (National Security Minister Itamar Ben-Gvir voted against) with one abstention (Finance Minister Bezalel Smotrich) that Israel would act to prevent the Palestinian Authority’s collapse. This is the official translation of the resolution presented by Prime Minister Benjamin Netanyahu:

“In the absence of a change in the national assessment, Israel will act to prevent the collapse of the Palestinian Authority, while demanding that it cease its anti-Israel activity in the international legal-diplomatic arena, the incitement in its media and education system, the payments to the families of terrorists and murderers, and the illegal construction in Area C.”

The statement added that the prime minister and the defense minister would submit proposed steps to stabilize the civilian situation in the Palestinian arena. These include the construction of a new industrial zone in Tarkumiye, near Hebron, a move supported by the Israeli security establishment. 

As part of the effort by Israel and Egypt to boost the Palestinian economy, the Prime Minister's Office recently approved the development of a natural gas field off the Gaza coast to be administered by the PA. 

Why does Israel want to save the PA?

According to Israeli officials, the decision to help the PA is aimed at countering the influence in the West Bank of Iran, which backs both Hamas and Palestinian Islamic Jihad. The officials say that the collapse of the PA could cause a similar situation to that in Gaza, where Hamas seized control in 2007. They argue that the PA’s loss of control, particularly in the northern West Bank, has empowered terrorist groups and forced the IDF to conduct counter-terror operations in the territories. 

 PALESTINIAN AUTHORITY President Mahmoud Abbas speaks during a meeting of the PA leadership, in Ramallah. No president should be in office for so long and certainly without a mandate from the people, says the writer. (credit: FLASH90)
PALESTINIAN AUTHORITY President Mahmoud Abbas speaks during a meeting of the PA leadership, in Ramallah. No president should be in office for so long and certainly without a mandate from the people, says the writer. (credit: FLASH90)

Ben-Gvir called the decision to strengthen the PA “delusional.” He said: “There is no greater absurdity than the fact that a body that encourages terrorism, pays salaries to terrorists and their families, encourages in the education system incitement in favor of the murder of Jews, and takes over territories in Judea and Samaria, will receive a basket of rewards from the Israeli government in the midst of a wave of terrorism.”

It is worth noting that the Israeli government collects some NIS 800 million annually in taxes for the PA, accounting for up to 70% of its revenue, excluding foreign aid. 

On July 10, the PA rejected Israel’s demands for helping to prevent its collapse. “Yesterday, the Israeli government came out with decisions concerning the Palestinian Authority on the pretext that they want to offer gestures to the Palestinians,” PA Prime Minister Mohammad Shtayyeh told a PA cabinet meeting. “On behalf of the Palestinian government, we say that what is required of Israel is to halt its aggression on our people, killings, settlements, and the piracy of our money.”

Established 30 years ago as part of the 1993 Oslo Peace Accords with Israel, the PA has weakened considerably over recent years amid allegations of corruption and incompetence, and opposition to its security cooperation with Israel. As a result, it is facing an increased threat from Hamas and PIJ.

PA President Mahmoud Abbas was elected on January 9, 2005, for a four-year-term, and the last elections for the Palestinian Legislative Council were held on January 25, 2006. It is possible that neither he nor his Fatah faction would win elections in the territories if they were held today, and questions remain about the 87-year-old leader’s successor.

Recent Palestinian polls show that Abbas’s popularity has plunged, with 80% saying he should resign.  According to a poll of Palestinians conducted by the Palestinian Center for Policy and Survey Research, “For the first time since the creation of the PA, a majority says that its dissolution or collapse serves the interest of the Palestinian people.”

What does this mean for the future of the PA and Israel? That is the focus of this issue.