Palestinian leader says government short of funds

September 8, 2012 - 8:39 AM

Ramallah, WEST BANK (AP) — Palestinian President Mahmoud Abbas says that government employees will not receive full salaries this month because donor countries have not delivered promised aid.

The U.S. and Arab countries have failed to come through this year with the aid money they have pledged, leaving the Palestinian Authority that governs much of the West Bank in a budgetary shortfall that has contributed to rising prices and delays in the payment of government salaries.

The economic conditions have helped spark small but growing protests in the West Bank. Last week demonstrators halted traffic in key Palestinian cities.

There are some 154,000 Palestinian civil servants, and their salaries help keep their extended families out of poverty.

Abbas spoke to reporters Saturday in the West Bank city of Ramallah.