"With the recent success of Hamas at the polls, many observers have cautioned that continued foreign assistance to the Palestinian Authority (PA) may be at risk due to Hamas’ commitment to the destruction of the state of Israel and its designation as a terrorist group by the United States. Currently, the Palestinians are the largest per capita recipients of foreign aid worldwide and, with a shattered economy, are completely dependent on external support to meet basic needs.

Without Western aid, a Hamas-led government may be forced to rely completely on donations from wealthy Arab Gulf states or from Iran. On the other hand, the prospect of losing U.S. and European aid may force Hamas to tone down its radical views and accept Israel’s right to exist. In the meantime, foreign donors have been cautious, demanding that Hamas renounce the use of violence and recognize Israel while withholding a complete cessation of aid programs pending the formation of a new Palestinian government."

Feb. 2, 2006 - Congressional Research Service (CRS) 

"These are monies that belong to the Palestinians and should not be withheld... It follows that the formation of a new government and the approval of its program should be awaited and that actions prior to that would be premature.

Nearly one million Palestinians rely on a Palestinian Authority wage earner, and Palestinian Authority salaries account for about 25 percent of GDP. The fiscal crisis could therefore lead to rising unemployment and soaring poverty rates... [the Authority] may not be able to deliver the basic services to sustain Palestinians and stave off a humanitarian crisis: healthcare, sanitation, and maintenance of sewage, electricity and water networks.

The United Nations and voluntary organizations cannot fill the void that would be created were the Palestinian Authority no longer able to provide the vital services that it delivers now. The United Nations will continue to work with all concerned to try to find ways to ensure that the needs of the Palestinians are met."

Mar. 24, 2006 - Alvaro De Soto, MA 

"The way through which the financial aid is channelled to the people of Palestine is not important... What is important is that no pressures should be exerted on the Palestinian nation... It is natural that Hamas expects all of us to offer financial aid... And it is also natural that when others halt their financial assistance we should help them... Supporting Palestinians should not be limited to financial aid, but political assistance should also be extended to them... Israel and the US must feel that there is an all-out support for the cause of Palestine."

Apr. 16, 2006 - Gholam Ali Haddad-Adel, PhD 

"Only those blind to reality think that withholding all aid to Palestine will force the Hamas-led government there to renounce violence and acknowledge Israel's right to exist... To starve the terrorists also starves their children and other innocents caught up in the complex struggle...

Hamas, while getting aid smuggled in from supporters in Iran, Sudan and other anti-American areas, already is making a propaganda victory out of the widespread suffering brought on by a U.S.-led embargo. Hamas calls the American withdrawal of aid an attack on democracy, a message that resonates in other Arab countries...

Those nearest the problem, including most Israelis, understand that cutting off aid to a terror-tainted territory won't have the same effect as cutting off the allowance to a misbehaving child. The last to feel hunger pains would be the strong young gunmen of Hamas...

By targeting aid to those most in need, the United States makes a humanitarian statement that resonates deeper than the rants of the shirtless mob marching down a dead-end street."

May 23, 2006 - Tampa Tribune 

"...It is the sense of Congress that... the territory controlled by the Palestinian Authority should be deemed to be in use as a sanctuary for terrorists or terrorist organizations.

...It shall be the policy of the United States that the United States Executive Director at each international financial institution shall use the voice, vote, and influence of the United States to prohibit assistance to the Palestinian Authority.

...The Secretary of State should withhold from United States contributions to the regular assessed budget of the United Nations... expended by any United Nations affiliated or specialized agency for assistance directly to the Palestinian Authority.

...The Secretary of State shall withhold from United States contributions to the voluntary budget of the United Nations... expended by any United Nations affiliated or specialized agency for assistance directly to the Palestinian Authority."

Feb. 1, 2006 - United States House of Representatives 

"The cabinet discussed the provision of humanitarian aid to the Palestinian population in the form of medical assistance, and decided... To transfer to international aid organizations... (New Israeli Sheqel) NIS 50 million worth of medicines and medical equipment, to be financed by the funds which it has been decided not to transfer to the Palestinian Authority (PA), for transfer in turn to Palestinian medical institutions.

The medicines and equipment will be transferred after coordination with the aforesaid medical institutions via the chosen international aid organizations. At its 19 February 2006 meeting, the cabinet decided that, 'Towards the conclusion of the caretaker government, money will not be transferred from Israel to the Palestinian Authority.'

At its 11 April 2006 meeting, the cabinet decided that... 'The Palestinian Authority is a terrorist authority that is hostile to Israel; the State of Israel, and all of its official representatives, will not maintain ties with the Palestinian Authority and its elements... Israel will coordinate with the international community regarding humanitarian assistance for the needs of the Palestinian population, not via the Palestinian Authority establishment'."

May 21, 2006 - Israeli Ministry of Foreign Affairs 

"The United States is suspending assistance to the Palestinian government's cabinet and ministries. The new Palestinian government must take responsibility for the consequences of its policies. The path back to the road map is clear, acceptance of the three principles. If it accepts the Quartet principles or a new government comes to power that accepts them, funding can be restored."

Apr. 6, 2006 - United States Department of State