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Israel suspends PA funds to Norway after Oslo recognizes 'Palestine' as independent state

Activists are seen waving Palestinian flags and banners and shouting anti-war slogans during a rally in the vicinity of the Norwegian parliament, Oslo, November 3, 2023. (Photo: Jorge Mantilla/NurPhoto)

The Israeli government on Wednesday announced its decision to suspend the transfer of funds to the Palestinian Authority after Norway recognized 'Palestine' as an independent state.

Until recently, Norway served as the custodian for transferring collected funds to the Palestinian Authority (PA) government in Ramallah. The move is reportedly a response to Norwegian Foreign Minister Espen Barth Eide's hostile stance towards Israeli Prime Minister Benjamin Netanyahu and Defense Minister Yoav Gallant.

In a written opinion submitted to the International Criminal Court (ICC), Eide argued that there are no legal obstacles against issuing arrest warrants against Netanyahu and Gallant for alleged war crimes committed against Palestinian civilians by Israeli forces in the Gaza Strip.

The Oslo Accords, led by Norway in 1993, clearly state that the PA lacks the authority to legally prosecute Israeli nationals, as it is attempting to do via the ICC. However, Norway now argues that the Oslo Accords do not restrict the ICC's judicial jurisdiction over Israel and the ongoing conflict in the Middle East.

Israeli Strategic Affairs Minister Ron Dermer, a close ally of Netanyahu, reportedly traveled to Switzerland recently in an effort to convince the Swiss government to take over the custodianship for the collected PA funds.

However, Dermer’s office would not issue a statement regarding the visit.

"The minister indeed visited Switzerland, but we cannot comment on the nature of the visit. The minister did not meet with Swiss officials regarding the mentioned issue. The Americans are the ones exploring this initiative," Dermer's office stated.

In May, Norway joined Spain and Ireland in a diplomatic initiative to officially recognize the PA as a de facto state, despite the entity lacking clearly defined borders and efficient control over its territory.

At the time, Eide defended Oslo's decision, underscoring that “for more than 30 years, Norway has been one of the strongest advocates for a Palestinian state. Today, when Norway officially recognizes Palestine as a state, is a milestone in the relationship between Norway and Palestine.”

The Israeli government blasted Norway’s unilateral decision and recalled Israeli Ambassador to Norway Avi Nir for a consultation. The Israeli embassy in Norway is currently led by the chargé d’affaires.

The terrorist organization Hamas welcomed the diplomatic recognition by Norway, Ireland and Spain as “an important step on the way to establishing the Palestinians’ right to their land and establishing an independent Palestinian state with Jerusalem as its capital.”

However, pro-Israel Christians in Norway and Ireland have expressed their opposition to the Norwegian government's decision.

In May, The national director of the International Christian Embassy in Norway, Dag Øyvind Juliussen, opposed the decision, which he defined as threat to genuine peace.

“Many Christians in Norway find this decision indefensible, extremely dangerous, and counterproductive to peace,” Juliussen said. “It is telling that Hamas – the world's richest and most brutal terrorist organization – has praised Norway’s move.”

Norway’s neighbor, Denmark overwhelmingly against a proposal to recognize a Palestinian state last May.

“We cannot recognize an independent Palestinian state, for the sole reason that the preconditions are not really there,” Danish Foreign Minister Lars Løkke Rasmussen stated at the time.

The conventional definitions of statehood include a legitimate government exercising effective control over a specific population with clearly defined borders, which is neither true for the Gaza Strip nor the Judea and Samaria region, internationally known as the West Bank.

The All Israel News Staff is a team of journalists in Israel.

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