Palestinian unity govt to be judged by actions-EU
Source: Reuters
By Adam Entous JERUSALEM, Feb 27 (Reuters) - The European Union on Tuesday played down prospects of a swift resumption of direct aid to the Palestinian Authority, saying the policies and actions of a unity government would be assessed over time. EU External Relations Commissioner Benita Ferrero-Waldner, at the start of a visit to Israel and the occupied West Bank, said a government President Mahmoud Abbas's Fatah faction and the Islamic militant group Hamas agreed to form should "respond" to the demands of the Quartet of Middle East mediators. "We will judge this government by its actions," she added. European officials and Western diplomats said the EU's review of the new government's programme and actions would take time and a temporary aid mechanism, which bypasses the Hamas-led government, would remain in place for as long as needed. The response dimmed Palestinian hopes for a quick resumption of direct assistance from the European Union once the unity government is formed. The EU is part of the Quartet, along with the United States, Russia and the United Nations. Hamas had also held out hope of receiving an infusion of funds from Saudi Arabia, which brokered the unity government deal that calmed weeks of Palestinian factional warfare in which more than 90 people were killed. But a European official said the Saudis have since made clear that any money would be earmarked for infrastructure and development projects, and not directly support the new government.The Quartet cut off direct aid to the Palestinian Authority after Hamas came to power in a January 2006 election. The unity deal, signed earlier this month in Mecca, contains a vague promise to "respect" Israeli-Palestinian pacts. But the agreement did not commit an incoming government to abide by those pacts, nor to recognise Israel and renounce violence as the Quartet has demanded. LIFTING RESTRICTIONS Though France said it would be "disposed to co-operate" with the unity government, other EU member states have told Abbas the coalition must clearly recognise Israel, renounce violence and accept interim deals for the embargo to end, Palestinian officials said. The officials said the key to ending the embargo was in getting the United States to lift restrictions on financial dealings with the new government. Local, regional and international banks have balked at transferring funds directly to the Palestinian Authority since Hamas formed a government in March 2006. Bank executives say they fear running foul of U.S. sanctions against Hamas and of being locked out of U.S. financial market. The EU plans to expand aid to its so-called Temporary International Mechanism, which provides allowances to Palestinian workers, and is proposing new channels to help some Palestinian institutions. In the Gaza Strip, Palestinian Prime Minister Ismail Haniyeh of Hamas held talks with Fatah and Hamas leaders on filling cabinet posts. The naming of an interior minister, who would oversee security services, is a key issue, officials said. (Additional reporting by Nidal al-Mughrabi in Gaza)
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