Identifier
Created
Classification
Origin
09TELAVIV2446
2009-11-06 12:43:00
SECRET//NOFORN
Embassy Tel Aviv
Cable title:  

HAMAS FACING SEVERE FUNDING SHORTAGES

Tags:  PTER EFIN KTFN IS 
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VZCZCXRO2829
PP RUEHROV
DE RUEHTV #2446 3101243
ZNY SSSSS ZZH
P 061243Z NOV 09 ZDS
FM AMEMBASSY TEL AVIV
TO RUEATRS/DEPT OF TREASURY WASHDC PRIORITY
RUEHC/SECSTATE WASHDC PRIORITY 4141
INFO RUEHXK/ARAB ISRAELI COLLECTIVE
S E C R E T TEL AVIV 002446 

C O R R E C T E D C O P Y (CAVEAT & TAGS)

NOFORN

SIPDIS

TREASURY FOR DAN MOGER AND BEN SCHMIDT, STATE FOR NEA/IPA

E.O. 12958: DECL: 11/06/2019
TAGS: PTER EFIN KTFN IS
SUBJECT: HAMAS FACING SEVERE FUNDING SHORTAGES

Classified By: Economic Counselor David R. Burnett for reasons 1.4 b/d

S E C R E T TEL AVIV 002446

C O R R E C T E D C O P Y (CAVEAT & TAGS)

NOFORN

SIPDIS

TREASURY FOR DAN MOGER AND BEN SCHMIDT, STATE FOR NEA/IPA

E.O. 12958: DECL: 11/06/2019
TAGS: PTER EFIN KTFN IS
SUBJECT: HAMAS FACING SEVERE FUNDING SHORTAGES

Classified By: Economic Counselor David R. Burnett for reasons 1.4 b/d


1. (S/NF) Hamas has been facing severe funding shortages
over the last several months--primarily due to the GOI policy
of restricting cash in-flows from Hamas headquarters in
Damascus and fund-raisers, according to Israeli Security
Agency (ISA, also commonly known as Shin Bet) officials. ISA
officials told Econoff that Hamas has resorted to paying only
half of the standard monthly salary to its activists. Even
so, the movement has been taking loans from local Gazan
businessowners to make these salary payments since its funds
from abroad have been reduced.


2. (S/NF) ISA officials also noted to LEGAT that the
shortage was particularly acute during the distribution of
salaries in September around Ramadan. Hamas had intended to
initiate salary payments before the Eid al Fitr holiday in
order to enable holiday purchases. Instead, it was forced to
split the payments into two portions; half of the amount was
paid before the holiday, and the remainder was paid at the
originally scheduled date of the beginning of October.
Additionally, Hamas has been unable to fully implement its
plan to employ the jobless (the "Takaful" plan). Out of the
prior goal of providing jobs to 2000 of the movement's
unemployed, only half have received paid work.


3. (S/NF) ISA officials claimed that these shortages are
indicative of the success of GOI's efforts (in coordination
with the U.S. and the international community) to thwart
terror financing. They stressed the importance of continuing
bilateral cooperation and coordination on the designation of
terrorist groups and reiterated that the U.S. designation of
the Lebanese Wakfiya and Al-Quds remains their top priority.
Furthermore, ISA hopes to coordinate with the USG on
garnering international support (especially from the EU) for
designating the Union of Good. The GOI believes that an EU
designation would further augment the strength of the U.S.
designation in weakening Hamas.
CUNNINGHAM

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