Israeli Finance Minister Bezalel Smotrich has gone back on his decision to withhold funds for municipal councils in Palestinian-dominated areas in the state of Israel. The reversal was announced on Monday, August 28, in the aftermath of widespread protests and demonstrations by Palestinian council leaders in front of government offices, as well as a one-day strike last week. The protesters accused Smotrich of racism and discrimination after the minister justified his decision to suspend the funds by claiming that it would prevent the money ending up in the hands of “criminals and terrorists.”
Palestinians deemed these comments as “false and ridiculous” and claimed that the money was for survival and not a luxury. The councils had also warned the government of an escalation in protests and strike action if the decision was not rescinded.
Smotrich also came under heavy criticism from Palestinian parliamentarians, as well as even some Jewish members of the Knesset (Israeli parliament), including opposition leader Yair Lapid as well as the current interior minister. They urged the minister to reverse the decision and release the funds worth 200 million Israeli shekels (USD 52.75 million).
In his statement reversing his decision, Smotrich said that the government had created an oversight mechanism to transfer the funds and once again reiterated his claim that “we are stopping the criminal organizations from taking over the budgets that go to the Arab authorities.”
Smotrich had announced the decision to suspend the funds in the beginning of August even though Israeli Prime Minister Benjamin Netanyahu had assured that the money earmarked for Palestinian councils and areas would be transferred to them. Later in the month, Smotrich reiterated his decision despite the growing criticism and condemnation he was receiving from all quarters.
Palestinian citizens of Israel, who make up roughly 20% of the total population, have historically been neglected and marginalized by successive Israeli governments. Palestinian-majority areas inside Israel are severely underfunded and underdeveloped as a result. The current Israeli government, which many have termed as the most right-wing and anti-Palestinian ever, has targeted not just the Palestinians living under occupation with a drastic escalation in violence and repression, but also those living inside the state of Israel, who are being further sidelined and alienated with policies and rhetoric calling for more discrimination, negligence, and restrictions against them.
