The Arab League has pledged to pay $100 million a month to the Palestinian Authority to plug the gap left when Israel blocked tax transfers earlier in the year.
The World Bank warned Wednesday of a deepening economic crisis in the occupied West Bank if the Palestinian Authority and Israel do not resolve a dispute over tax transfers.
Israel signed a 15-year, $775 million deal with the self-ruling Palestinian Authority on Tuesday to put electricity distribution for Palestinians in the West Bank in PA hands and build four power plants to that end, officials said.
A planned handover of power in Gaza from Hamas to the Palestinian Authority under a landmark reconciliation accord hit "obstacles" on Sunday's deadline to do so, a top official said.
The handover signalled that Hamas remained committed to a deal that would eventually see it give up full control of the Gaza Strip and bring an end to a 10-year rift with rivals Fatah.
The top UN envoy for Israeli-Palestinian peace hailed improving relations between the two major Palestinian factions Monday, after premier Rami Hamdallah visited Gaza for the first time in two years.
The Palestinian Authority has dramatically reduced financial support for Gazans seeking medical care outside the blockaded Gaza Strip, WHO figures showed on Wednesday.
Israel ordered the closure of an office in Arab East Jerusalem on Tuesday saying it was funded by the Palestinian Authority and involved with monitoring the sale of Palestinian property to Jews, police said.
Israel should stop building settlements, denying Palestinian development and designating land for exclusive Israeli use that Palestinians seek for a future state, the Middle East peace "Quartet" recommended in a draft of an eagerly awaited report seen by Reuters.
A prominent Palestinian lawmaker vowed to keep up her campaign for prisoners' rights after being released Friday following 14 months in an Israeli jail, AFP journalists at the scene said.