Colin Powell to the rescue: Palestinians desperate for cash

RAMALLAH — The Palestinian Authority is expecting help from visiting U.S. Secretary of State Colin Powell as they appeal to the international community for immediate funds to stave off economic collapse.

Officials blamed Israel for its increasingly desperate plight although the Arab League is also behind in payments pledged. They said Powell will press Israel to release funds to the PA during his upcoming trip to the Middle East.

The appeal for relief was issued by PA Economy Minister Maher Masri who with other ministers have asserted that Arab League pledges for up to $1 billion have not arrived.

Masri said the PA has lost 50 percent of its revenues during the current mini-war with Israel, Middle East Newsline reported. He said more than 750,000 Palestinians have lost their jobs.

Other PA officials also blamed Israel for the collapsing economy. They said Israeli authorities impounded equipment for a Palestinian power-generation station.

Palestinian officials said U.S. Secretary of State Colin Powell, who arrives in the Middle East over the weekend, will urge the Israeli government to release millions of dollars in funding meant for the PA. The officials said Powell has been convinced that the Palestinians must be provided with emergency aid to prevent an economic collapse.

PA International Cooperation Minister Nabil Shaath, who met Powell in Washington, said the United States will continue plans to provide the Palestinians with $900 million in pledged assistance linked to the 1998 Wye accords.

The appeal comes as clashes continue between Israelis and Palestinians. Overnight Thursday, an Israeli motorist was shot and wounded in Jerusalem in fire directed from a passing car. The car fled to nearby Ramallah in the Palestinian-controlled area.

In Hebron, an explosion was reported on Thursday in what Palestinian sources said could be a bomb prepared for an attack on Israel that detonated prematurely.

Israeli and Palestinian sources said they are expecting an Israeli military invasion in the West Bank and Gaza Strip in an attempt to eliminate leaders of the current revolt against Israel. The sources said they expect an imminent escalation of violence after Powell ends his Middle East tour.