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Over the last six years there has been a real drive to improve relations on the ground between Israelis and Palestinians living and working in the West Bank. Much of this progress can be attributed to Israeli-Palestinian cooperation and the easing of trade and physical barriers.
Part of the success is also a result of the funding the Palestinian Authority (PA), the administrative body tasked with running the West Bank, receives from the United States, Europe and other donors. There has been more than $3 billion in direct foreign donor assistance to the PA’s budget since 2007. PA Prime Minister Fayyad reduced foreign aid from $1.8 billion in 2008, to $1.1 billion in 2010, and has said that the PA “will gradually wean” itself from such funding by 2013