The Palestinian leadership and Ministry of Finance have frozen the budgets of all of the Palestinian Liberation Organisation's factions, led by the Popular Front for the Liberation of Palestine. Funds allocated to the PFLP were stopped in June, claimed Palestinian sources.
According to the Sama news agency, the Secretary General of the Palestinian People's Party, Bassam Al-Salhi, said that the National Fund did not transfer all of the money due to the groups as approved by the PLO over the past month. Al-Salhi said that the main reason, from the viewpoint of the People's Party, is the difference arising between the financial and economic policy adopted by the Palestinian Authority and the involvement of the national factions in the protests against PA policies in the occupied Palestinian territories last month.
The People's Party, he added, is sticking to its position of demanding support for basic goods, through a reduction of VAT. He stressed the Palestinian People's Party's demand to apply a national economic and fiscal policy suited to strengthening the steadfastness of all Palestinians.