Speaking at a meeting on the sidelines of the UN General Assembly, Ayalon said too much money was funneled to the Gaza Strip, which had not renounced terror.
“About 50 percent of the PA budget is directed to Gaza, which is controlled by Hamas terrorists,” Ayalon told the Ad Hoc Liaison Committee of Donor Countries to the Palestinian Authority, which coordinates international aid to the PA.
He called on the international community of donor states to use its influence to force Hamas to accept the three conditions laid out by the Middle East Quartet, which consists of the US, the UN, the EU and Russia: renunciation of terror, acceptance of “roadmap to peace” obligations and recognition of Israel’s right to exist.
He also said that the PA uses some of the money to fund terrorists and their families.
Ayalon said cutting off funding would force Ramallah to come to the table for serious negotiations. The diplomat slammed the PA’s attempts to achieve unilateral UN recognition and moreover threatened to cut off Israeli support for the Palestinian economy.
“The Palestinian Authority, which cannot even collect municipal taxes, wishes to pose as a state,” he said. “It is clear that the PA does not meet the minimum requirements of a state. It also fails to meet another requirement of the UN Charter — to be a peace-loving nation.”
Ayalon added that “Israel has done much this year to help the PA overcome the economic crisis, and has taken measures to stabilize and strengthen Palestinian society, but if it will continue to use this help to finance terror and to pursue unilateral action, this cooperation will be in jeopardy.”
The Palestinian Authority has of late been wracked by economic problems which have threatened to destabilize the West Bank. Protesters across the territory took to the streets earlier this month to demand the ouster of Prime Minister Salam Fayad.
A recent report by the Ad-Hoc Committee said without an uptick in foreign funding, the chances for a two-state solution could collapse.