(AFP) Israel sought a $1 billion IMF bridging loan for the Palestinian Authority earlier this year, but was turned down, Ha'aretz reported Monday. Israel's central bank chief Stanley Fischer approached the IMF after discussing the PA's financial crisis with Palestinian prime minister Salam Fayyad. Israel was to have taken the loan on the Palestinians' behalf and then transfer the money to the PA, which would then repay Israel. The IMF turned the proposal down because it feared setting a precedent of making IMF money available to non-state entities which cannot directly request or receive IMF funding.
2012-07-02 00:00:00Full ArticleBACK Visit the Daily Alert Archive