http://www.gulf-times.com/site/topics/article.asp?cu_no=2&item_no=135373&version=1&template_id=37&parent_id=17

Palestinian govt to be judged by actions: EU
Published: Wednesday, 28 February, 2007, 08:46 AM Doha Time
JERUSALEM: The European Union yesterday played down prospects of a swift
resumption of direct aid to the Palestinian Authority, saying the
policies and actions of a unity government would be assessed over time.
EU External Relations Commissioner Benita Ferrero-Waldner, at the start
of a visit to Israel and the occupied West Bank, said a government
President Mahmoud Abbas’ Fatah faction and the Islamic militant group
Hamas agreed to form should “respond” to the demands of the Quartet of
Middle East mediators.
“We will judge this government by its actions,” she added.
European officials and Western diplomats said the EU’s review of the new
government’s programme and actions would take time and a temporary aid
mechanism, which bypasses the Hamas-led government, would remain in
place for as long as needed.
The response dimmed Palestinian hopes for a quick resumption of direct
assistance from the European Union once the unity government is formed.
The EU is part of the Quartet, along with the United States, Russia and
the United Nations.
Hamas had also held out hope of receiving an infusion of funds from
Saudi Arabia, which brokered the unity government deal that calmed weeks
of Palestinian factional warfare in which more than 90 people were killed.
But a European official said the Saudis have since made clear that any
money would be earmarked for infrastructure and development projects,
and not directly support the new government.
The Quartet cut off direct aid to the Palestinian Authority after Hamas
came to power in a January 2006 election.
The unity deal, signed earlier this month in Makkah, contains a vague
promise to “respect” Israeli-Palestinian pacts.
But the agreement did not commit an incoming government to abide by
those pacts, nor to recognise Israel and renounce violence as the
Quartet has demanded.
Though France said it would be “disposed to co-operate” with the unity
government, other EU member states have told Abbas the coalition must
clearly recognise Israel, renounce violence and accept interim deals for
the embargo to end, Palestinian officials said.
The officials said the key to ending the embargo was in getting the
United States to lift restrictions on financial dealings with the new
government.
Local, regional and international banks have balked at transferring
funds directly to the Palestinian Authority since Hamas formed a
government in March 2006. –  Reuters

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