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The Palestinian Authority faces collapse as Israel's 10-month withholding of $4.4 billion in taxes cripples its finances.
The Palestinian Authority’s finance minister, Estephan Anton Salameh, warned on February 12, 2026, that the PA’s financial situation is "extremely critical," with Israel withholding $4.4 billion in tax revenues for 10 consecutive months.
These funds, which make up about 70% of PA public income, are crucial for paying salaries and maintaining basic services.
The PA now operates at just 10% of minimum capacity, facing a 2025 deficit exceeding 4.5 billion shekels and a debt of $15.4 billion, largely due to the withheld funds.
Salameh said austerity is no longer optional and that international aid, while rising to $850 million in 2025, is uncertain for 2026.
La Autoridad Palestina se enfrenta al colapso, ya que la retención de impuestos de Israel de $ 4.4 mil millones durante 10 meses paraliza sus finanzas.