SAG PROVIDES ACCOUNT OF PA BUDGET ASSISTANCE

C O N F I D E N T I A L RIYADH 000859 SIPDIS DEPT FOR NEA/ARP, NEA/IPA, NEA/RA, INR/NESA, AND EEB E.O. 12958: DECL: 06/30/2019 TAGS: EAID EFIN PREL KWBG SA IZ SUBJECT: SAG PROVIDES ACCOUNT OF PA BUDGET ASSISTANCE REF: A. SECSTATE 38607 ¶B. RIYADH 842 NOTAL Classified By: Deputy Chief of Mission David Rundell for reasons 1.4 (b ) and (d) ¶1. (SBU) In response to ref A, the SAG provided a non-paper describing their budget assistance to the Palestinian Authority over the past seven years. The text of the non-paper follows: Saudi Arabia's Assistance to the Palestinian Authority and the Palestinian People (2002 - 2009) PA Budget Support -------------- Saudi Arabia channeled $719.4 million in assistance to the PA budget from 2002 to 2009. This assistance was delivered in the following manner: ¶1. Through the Arab League: Saudi Arabia honored its commitments towards the PA budget in accordance with the decisions of the April 1st, 2003 Arab Summit. Saudi Arabia paid a total of $554.4 million from 04/01/2003 to 03/30/2009 in payments of $7.7 million per month. Saudi Arabia continues to support the PA budget through the same mechanism in accordance with the decisions of the Arab Doha Summit. Saudi Arabia will transfer funds in the amount of $15.4 million by the end of May to support the PA's April and May budget. ¶2. Assistance Outside the Arab League Framework: Saudi Arabia provided exceptional support in the amount of $165 million to the PA budget between the years of 2002 and 2008. Funds were delivered as follows: $45 million in 2002, $20 million in 2006, and $100 million in August 2008. End non-paper. ¶2. (C) Comment: This non-paper represents the most substantive response Post has received on this issue in recent memory. Left unexplained in the note is why the monthly payments were apparently interrupted in April and early May 2009 (see ref B). End comment. ERDMAN