Israeli official: PA must build welfare net in West Bank to prevent Hamas takeover - Haaretz

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Wed., August 22, 2007 Elul 8, 5767

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Israeli official: PA must build welfare net in West Bank to prevent Hamas takeover

By Barak Ravid

The Palestinian government needs to establish an alternative social security net in the West Bank in order to beat Hamas at its own game and win elections, according to a plan formulated by a senior Israeli official.

The proposal concludes that unless the Fatah-dominated Palestinian Authority in the West Bank does so, Hamas would take over that territory as well in two years.

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The plan, which was recently handed over to senior Palestinian officials during a closed conference at the Washington Institute for Near East Policy, was compiled by Rani Loewenstein, who is considered one of the closest Israeli officials to Palestinian Prime Minister Salam Fayyad and Israel's main liaison with the Palestinians on economic and financial affairs over the last five years.

Senior American, Palestinian, Egyptian and Jordanian officials attended the conference, which was headed by Dennis Ross and David Makovsky. Other participants included the European Union's envoy to the Middle East, Mark Otte; former Israeli defense officials, including former chief of staff Moshe Ya'alon; MK Ephraim Sneh and former Foreign Ministry director general Avi Gil.

Loewenstein's plan consists of recommendations for bolstering the PA's control in the West Bank after the Hamas takeover of the Gaza Strip. The main recommendation is to set up a welfare system similar to the charity organizations operated by Hamas, as a tool to muster public support which will translate into an electoral victory.

Loewenstein suggests several steps the Palestinians can take regardless of Israel's goodwill gestures or alleviations in the West Bank. He said that the resumption of the transfering of tax funds from Israel to the PA in the West Bank should ease the Authority's cash problems. His data indicated that the Hamas welfare budget was far smaller than the PA's monthly wage bill, which gives Fayyad's government an advantage.

Consequently, the PA has considerable sums with which to set up such these services, in addition to the $80 million it pays in monthly salaries and a similar sum for current expenses, he said.

Loewenstein said the PA must plan its economic activity according to a 90-120 day range, rather than deal with long-term projects, because it must focus on influencing public opinion and swiftly improving the Palestinians' quality of life. Such steps could turn the West Bank into a successful economic model compared to the Gaza Strip, paving the way to electoral victory.

The plan also recommends adopting Hamas' economic methods in reducing red tape and distributing assistance directly to the needy.

The proposal suggests that the PA government buy thousands of backpacks for the upcoming school year and distribute them to students free of charge, in a bid to immediately influence public opinion. It also suggests increasing the residents' personal safety and improving public order.

Loewenstein also has recommendations for Israel, the Arab states and the international community. Israel must continue to transfer the taxes collected on behalf of the Palestinian Authority and gradually remove restrictions on movement in the West Bank, in accordance with the security situation.

The Arab states must block fund transfers to Hamas via the tunnels under the Gaza border with Egypt and also stop Gulf states from contributing to Hamas' charity funds. The international community should continue to transfer money to the PA, but in a way that would enable the Palestinians to decide for themselves how to use it.

The bottom line in Loewenstein's presentation was that it is necessary for the Palestinians to take these measures to prevent Hamas from taking over the West Bank in two years.

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