2013 Briefing Book - Print Version - Aipac

PEACE PROCESS
that were discontinued by the Palestinians on the grounds that Israel wouldn’t continue the
settlement freeze. What had been less than worthless a few months earlier became indispensable to
continue negotiations.”
In addition, Israel has removed more than 400 West Bank checkpoints and roadblocks, improving
the freedom of movement for hundreds of thousands of Palestinians. The improved security
situation permitted Israel to allow its Arab citizens to shop in West Bank cities. These actions
significantly boosted the West Bank economy, which grew near or above 10 percent between 2008
and 2010—one of the highest growth rates in the world during a time of world-wide recession.
Israel has also moved to dramatically bolster the Palestinian economy and mitigate the PA’s
financial crisis. Israel signed a new tax agreement aimed at increasing the PA’s revenue from tax
collection and pressed the International Monetary Fund (IMF) to provide a $1 billion loan to
support the PA budget. Despite Israel’s efforts, however, the IMF rejected the loan request.
The Palestinians Refuse to Hold High-Level, Direct Talks
The Palestinian Authority (PA)
has taken an important step by
helping to clamp down on terrorism
emanating from the West Bank
and has made significant progress
in institution building for a
future Palestinian state. But it has
fundamentally rebuffed President
Obama’s appeal to return to the
negotiating table for high-level,
direct talks without preconditions
and has not reciprocated Israel’s
positive actions.
Instead, the Palestinians have
attained an upgrade in their status
in the U.N. General Assembly to a
non-member observer state. They
are also seeking acceptance as
Saudi Arabia’s King Abdullah rebuffed President Obama’s call to take
concrete steps to reach out to Israel.
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