The Arab League has pledged $100 million per month to the Palestinian Authority (PA) to make up for funds withheld by Israel because of payments made to the families of Palestinian attackers and prisoners. Palestinian President Mahmoud Abbas addressed the Arab League in Cairo, as part of a diplomatic effort to rebuff the Trump administration's Middle East peace plan. Israel collects taxes on behalf of the PA but withheld $138m in transfers in February over Palestinian payments to political prisoners jailed for attacks against Israelis. In 1967, Israel illegally occupied the eastern half of Jerusalem, as well as the West Bank and the Gaza Strip - and in 1980, passed a law declaring Jerusalem as the eternal and undivided capital of Israel. The Palestinians seek those territories for a future state.
