The Palestinian Authority's decision to modify payments to families of prisoners is viewed as a tactical shift to align with U.S. laws and improve its economic situation. This move comes amidst pressure from both the U.S. and Israel to halt previous stipend practices.
Palestinian Authority Shifts Payment Policies for Families of Prisoners: A Strategic Move Toward U.S. Aid

Palestinian Authority Shifts Payment Policies for Families of Prisoners: A Strategic Move Toward U.S. Aid
In a significant policy change, the Palestinian Authority announces an overhaul of financial support for families of prisoners, aiming to strengthen ties with the U.S. and attract foreign aid.
For years, the Palestinian Authority (PA) in the occupied West Bank has allocated substantial sums—totaling hundreds of millions of dollars—toward stipends for families of Palestinians imprisoned or killed during confrontations with Israel, including individuals involved in violent actions. Both the U.S. and Israel have condemned these payments, viewing them as incentives for further violence, and have exerted pressure on the PA to cease these controversial practices.
On February 11, 2025, the Palestinian Authority announced a notable policy shift, with the aim of curtailing these payments. Analysts interpreted this move as a strategy to gain favor with the Trump administration and to secure desperately needed foreign aid. Official sources, preferring to remain anonymous, disclosed that this alteration sought to comply with U.S. law, which prohibits direct American aid to the PA while it continues to support these stipends.
The PA has faced intensifying economic challenges in recent years, making the loss of foreign aid increasingly detrimental to its ability to operate and pay public employees. Mahmoud Abbas, the long-standing president of the Palestinian Authority, formalized the new policy on the same day, tasked to fundamentally revise the payment framework. Instead of unconditional financial support, the PA's newly established Palestinian National Economic Empowerment Institution will now distribute funds based on assessed financial need and social welfare criteria, explicitly excluding considerations of political affiliation or past actions.
This change poses significant implications for the Palestinian Authority's social policies and political landscape. While it is a move towards compliance with external pressures, it may also stir public sentiment around crucial issues related to justice and victim support within the broader Palestinian community. The decision underscores the delicate balance the PA must maintain as it seeks economic stability while contending with social expectations and political realities in a multifaceted conflict landscape.