Palestinian and Qatari officials discussed Qatar's mediation to resolve the issue of taxes collected by Israel, known as Maqasa, a reliable Palestinian source told Asharq Al-Awsat newspaper.
The idea was officially suggested during bilateral meetings in Doha, the sources added, and the Palestinian Authority (PA) expects Qatar to reach a settlement.
The PA has since May refused to accept the taxes collected on its behalf in protest against Israel's planned annexation of parts of the occupied West Bank. It has also severed security and civilian coordination with Israel, which were laid out under the Oslo Accords.
An EU official said on Thursday that the European Union has no intention to stop financial aid to the Palestinian Authority.
The EU continues supporting the PA to enable it to perform its role in the Palestinian territories and fulfill its duties to the Palestinian people, Shadi Othman, a communication officer at the EU in Jerusalem, told reporters in Ramallah.
"The EU is encouraging the Palestinian Authority to take the tax revenues from Israel. It's a Palestinian right," Othman said.
A day earlier, the Israeli media reported that the EU warned the Authority that it would suspend the financial aid if it continues to refuse the tax revenues from Israel.
EU High Commissioner for Foreign Affairs Josep Borrell called Abbas last Wednesday to tell him that he will not be getting any more aid money in light of the situation, Walla News reported. Borrell also called on Abbas to renew cooperation with Israel.
The EU, Germany, the UK, and Norway told the Palestinians to take the tax money Israel collected but Abbas refused.
Palestinian government spokesperson Ibrahim Melhem stressed that the Palestinian-European ties are based on the spirit of cooperation, partnership, and respect to international law. He added that these ties aren't connected to any political demand.
