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Home Security

Palestinian Authority Ends ‘Pay-to-Slay’ Program Amid Financial Pressure

Facing U.S. Sanctions, PA Abolishes Terror-Linked Payments in a Policy Shift

Shanna Fuld by Shanna Fuld
Feb 11, 2025 @ 10:43 AM
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Palestinian Authority Ends ‘Pay-to-Slay’ Program Amid Financial Pressure

Palestinian Authority President Mahmoud Abbas addresses a press conference following a policy shift on terror-related payments.

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The Palestinian Authority (PA), led by President Mahmoud Abbas, has officially signed a decree ending its controversial “pay-to-slay” program. This initiative, long condemned by Israel, the United States, and other Western nations, financially rewarded Palestinian terrorists and their families following attacks on Israeli citizens.

The ‘Pay-to-Slay’ System and Its Impact

For years, the PA allocated financial support to individuals convicted of terrorism and to the families of those killed while carrying out attacks. The payments varied based on the severity of the attack and the length of imprisonment. This system effectively incentivized acts of violence, sparking widespread criticism and legal challenges from the families of victims.

The U.S. government has attempted to halt this program, notably through the Taylor Force Act, which prohibits direct American financial aid to the PA as long as these payments continue. However, despite legislative efforts, the program remained active, continuing to distribute millions of dollars annually to terrorists and their families.

Legal Challenges and International Response

In recent years, victims’ families have sought justice in U.S. courts, filing lawsuits against the PA for facilitating terror-related payments. The October 7 attacks by Hamas, which led to significant loss of life and escalated tensions in the region, further underscored the connection between the PA’s financial support and acts of terrorism. Reports indicate that in the wake of these attacks, a total of $2.8 million was allocated to Hamas-affiliated terrorists.

Amid mounting international pressure, including potential U.S.-imposed fines ranging between $200 million and $300 million, the PA has reportedly begun scaling back its payments. In 2024, it was reported that the program had reduced payouts by 30-40%, marking a significant shift in policy.

Financial and Political Implications

The PA’s decision to end the “pay-to-slay” program is seen by some as a strategic move to avoid severe financial repercussions that could destabilize its government. The looming threat of U.S. financial penalties has raised concerns about a potential economic crisis in the West Bank, where the PA already struggles with budget shortfalls and declining international aid.

Despite the decree, questions remain about whether these payments will be permanently abolished or if alternative mechanisms will be created to continue supporting convicted terrorists and their families. Additionally, political factions within the PA, as well as extremist groups, may push back against the decision, creating further internal divisions.

The Road Ahead

The termination of the “pay-to-slay” policy marks a significant moment in the Israeli-Palestinian conflict. While it addresses one of the most contentious aspects of Palestinian governance, it remains to be seen how this policy shift will impact broader peace efforts, security concerns, and the PA’s relations with its international donors.

For now, the PA must navigate the financial and political challenges of this decision while ensuring stability in the region. The international community, particularly the U.S., will likely continue to monitor the situation closely to ensure that these payments do not persist in another form.

As events unfold, the long-term consequences of this decree will become clearer, shaping the future of Palestinian governance and its engagement with the global community.

Tags: donor relationseconomic crisisextremist groupsfinancial aidforeign aidhamasinternational pressureisraelIsraeli-Palestinian conflictlegal challengesMahmoud AbbasPalestinian AuthorityPalestinian budgetPalestinian governancePalestinian terrorismpay-to-slaypeace effortssecurity concernsTaylor Force Actterrorism financingU.S. courtsU.S. sanctionsWest Bank
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Shanna Fuld

Shanna Fuld

I am the founder of the Israel Daily News Podcast, an independently run show that gives Israel news headlines. One of my specialties is launching new programs.

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