Don't miss

Replay


LATEST SHOWS

FASHION

Paris Men's Fall/Winter 2015, freedom of speech triumphs

Read more

BUSINESS DAILY

Davos 2015: Businesses 'cautiously optimistic' in Japan

Read more

MEDIAWATCH

Twitter storm as IMF boss Christine Lagarde hails Saudi King Abdullah as 'strong advocate of women'

Read more

EYE ON AFRICA

DR CONGO: Senate amends controversial constitutional law

Read more

THE WORLD THIS WEEK

Pope Family Planning: Heated Debate over Pontiff's 'Rabbit' Comments (part 2)

Read more

THE WORLD THIS WEEK

Saudi King Abdullah Dies: Succession, Stability and Youth in Question (part 1)

Read more

FRANCE IN FOCUS

France tackles terror

Read more

THE BUSINESS INTERVIEW

Jean-Pascal Tricoire, CEO of Schneider Electric: 'France is on a better track'

Read more

DEBATE

Davos debate: Can big business agree on climate deal? (part 2)

Read more

Gaza faces cash crunch, World Bank tells Israel

Latest update : 2008-12-06

Israel must allow cash into Gaza, said the World Bank on Saturday. The region's banks face a cash crunch due to sanctions and could collapse, worsening the Palestinian humanitarian situation.

AFP - The World Bank urged Israel on Saturday to allow cash into the Gaza Strip to pay the wages of civil servants, warning that the liquidity crisis could bring down the besieged territory's banking system.
  
"We urge the government of Israel to move swiftly to restore cash liquidity in Gaza bank branches prior to the Eid holiday on Monday," the international body said after banks were forced to shut down on Thursday for want of cash.
  
"Positive resolution is dependent on transfer of banknotes," it said.
  
"The liquidity crisis could lead to the collapse of the commercial banking system in Gaza, further undermine the role of Palestinian institutions and have serious humanitarian implications."
  
On Tuesday, Palestinian prime minister Salam Fayyad warned that Palestinian Authority civil servants in the Hamas-ruled territory would not receive their wages unless Israel allows the cash transfer.
  
He said banks in Gaza, home to some 1.5 million people, need a cash injection of 250 million shekels (63 million dollars) to pay the salaries.
  
The Palestinian Authority was ousted from Gaza when Hamas seized power in June 2007, but it continues to pay the salaries of some 70,000 civil servants in the impoverished territory.
  
Israel imposed a blockade on the Gaza Strip after the Islamist takeover and further tightened the sanctions on v,pNovember 5 following a flare-up in violence, raising international concerns of a severe food shortage.

Date created : 2008-12-06

COMMENT(S)