The Palestinian Authority’s latest scheme to disguise terror payments as “pensions” exposes a brazen attempt to deceive the international community while continuing to incentivize violence against innocent Israelis.
Story Highlights
- PA reclassifies terror payments as “pensions” to evade international sanctions
- Israel’s Foreign Minister demands accountability after deadly attack triggers investigation
- U.S. threatens $200-300 million in fines under Taylor Force Act provisions
- Policy originated in 2014-2018 PA laws rewarding terrorists based on sentence length
PA’s Deceptive Restructuring Exposed
Israel’s Foreign Ministry revealed December 24, 2025, that the Palestinian Authority continues its notorious “Pay-for-Slay” policy through semantic manipulation. Foreign Minister Gideon Sa’ar accused PA Chairman Mahmoud Abbas of “deliberate deception” by reclassifying terrorist payments as pensions for released prisoners and security service salaries. This revelation followed a deadly attack that prompted Israeli officials to investigate PA financing mechanisms.
The policy restructuring represents a calculated effort to maintain terror incentives while avoiding international sanctions. Abbas publicly defended the payments as a “national commitment” to martyrs and prisoners, demonstrating the PA’s unwavering support for violence against Israelis. Sa’ar condemned this approach, stating the changes constitute “Pay-for-Slay by another name” rather than genuine reform.
Historical Context of Terror Financing
The PA’s payment system originated from laws enacted in 2014 and 2018, mandating compensation for families of Palestinians killed or imprisoned for attacks against Israelis. These payments scale according to sentence length and family size, creating direct financial incentives for terrorism. The Taylor Force Act of 2018 requires the U.S. to cut aid unless the PA ceases these payments, yet the policy persists through various disguises.
Previous investigations revealed similar restructuring tactics in 2024 when the PA modified West Bank terrorist payments to evade financial cuts. This pattern demonstrates the PA’s commitment to sustaining terror financing despite mounting international pressure. The current scheme occurs amid escalating West Bank tensions following the October 2023 Gaza conflict spillover, creating additional security concerns for Israeli civilians.
International Pressure and Financial Consequences
The PA faces potential U.S. fines ranging from $200-300 million as Congress threatens enforcement of anti-terror financing legislation. These financial pressures strain the PA budget, already weakened by Israeli deductions and reduced international aid. However, the organization prioritizes maintaining domestic support through continued payments over compliance with international demands.
Sa’ar called upon the international community to hold the PA accountable for this deliberate evasion of reform commitments. The disguised payments undermine peace efforts while entrenching a martyrdom culture that perpetuates violence. This deception threatens to isolate the PA internationally and strengthen Israeli arguments for sustained sanctions against Palestinian leadership that refuses to abandon terror financing.
Sources:
PA Continues Terrorist Payments, Disguised as ‘Pensions’
Jerusalem Post Pay-for-Slay Coverage
