The Legal Forum for the Land of Israel has issued yet another futile petition for the government to cease sending cash to Gaza. The government currently evaluates a tranche of half a billion shekels.
The transfer itself is not a problem: if Gazans did not receive transaction cash from Israel, they would get it from somewhere else. Israel, like any other country, profits from exporting its paper currency. Rather, the issue lies in tax transfers: Israel indirectly taxes Jewish consumers to support our Arab enemies. The continuing transfers are especially odd considering that the PA takes an increasingly militant position in peace negotiations. The transfers make Israel the PA’s largest donor.
But how do Gazans spend shekels? Since Israel instituted the blockade, they cannot spend shekels, but they cannot be hoarding that much cash, either. It is clear that despite the blockade Israeli-Gazan trade is in full swing.
