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Israel renews tax payments to Palestinian Authority

Move renews hopes for troubled Israeli-Palestinian relations.

Abbas celebrate un voteEnlarge
Palestinian president Mahmud Abbas gestures as he arrives to addresses the crowds as Palestinians celebrate his successful bid to win U.N. statehood recognition in the West Bank city of Ramallah on December 2, 2012. Israel announced on Sunday that it was withholding millions of dollars in tax revenue from Palestine in protest against the vote. (AHMAD GHARABLI/AFP/Getty Images)

Israel on Monday ended a freeze on tax payments to the Palestinian Authority, according to the Times of Israel.

The move came days after US President Barack Obama appealed for peace during a landmark visit to Jerusalem. 

Israeli Prime Minister Benjamin Netanyahu's office announced on Monday that the tax funds have been unlocked "as per the opinion of the security cabinet," reported the Times

This ends the block which was issued by Israel in response to the Palestinian request for statehood at the United Nations in December, a restriction that froze some $100 million in monthly funds. 

At the time, the move dealt a fresh blow to an already crumbling Palestinian economy. Israel made an exception in January and February, bowing to international pressure and wiring transfers, said Reuters

http://www.globalpost.com/dispatch/news/regions/middle-east/israel-and-palestine/130325/israel-renews-tax-payments-palestinian