The PA picked a fight with America just after the Obama administration forced Egyptian President Hosni Mubarak to surrender power. Mubarak's departure was a strategic victory for the Muslim Brotherhood in Egypt and for its sister branch Hamas in Gaza.
As part of his efforts to neutralize the threat the Muslim Brotherhood posed to his regime, Mubarak sealed off Gaza's border with Egypt after Hamas seized power there in June 2007. The Gaza-Sinai border was breached during last month's revolution. Since Mubarak's forced resignation, the military junta now leading Egypt has failed to reseal it. The revolution in Egypt happened just after the PA was thrown into a state of disarray. Al Jazeerah's exposure of PA documents indicating the leadership's willingness to make minor compromises with Israel in the framework of a peace deal served to discredit Fatah leaders in the eyes of the Israel-hating Palestinian public. In the wake of the al Jazeerah revelations, senior PA leaders escalated their anti-Israel and anti-American pronouncements. The PA's chief negotiator Saeb Erekat was forced to resign.
The shift in the regional power balance following Mubarak's fall has caused Fatah leaders to view their ties to the US as a strategic liability. If they wish to survive, they must cut a deal with Hamas. And to convince Hamas to cut a deal, they need to abandon the US.
And so they have. Fatah's first significant move to part company with Washington came with its relentless bid to force a vote on a resolution condemning Israeli construction in Jerusalem, Judea and Samaria at the UN Security Council. In an attempt to avert a vote on the resolution that the US public expected him to veto, Obama spent fifty minutes on the phone with PA Chairman Mahmoud Abbas begging him to set the resolution aside. Obama promised to take unprecedented steps against Israel in return for Abbas's agreement to stand down. But Abbas rejected his appeal.
Not only did Abbas defy the wishes of the most pro-Palestinian president ever to occupy the White House, Abbas told the whole world about how he defied Obama.
Abbas's humiliation of Obama was only the first volley in the Fatah leader's campaign against the US. Abbas, Prime Minister Salam Fayyad and their PA ministers have sent paid demonstrators into the street to protest against America. They announced a boycott of American diplomats and journalists. They have called for a boycott of American products. They have scheduled a "Day of Rage," against America for Friday after mosque prayers.
While excoriating Obama and the US, the PA is actively wooing Hamas. Wednesday the PA accepted the legitimacy of Hamas control over Gaza. Three and a half years after Hamas wrested control over Gaza from Fatah in a bloody coup, on Wednesday Fayyad said that the PA is willing to end its objection to Hamas control over the area if Hamas agrees to participate in the general elections Abbas has scheduled for September.
At the same time as he publicly beseeched Hamas to join forces with Fatah, Fayyad announced that the PA is willing to forego US financial assistance if that assistance continues to come with political strings attached. The only real string attached to US aid is the stipulation that no US financial assistance can be used to finance Hamas.
The PA's announced willingness to end its receipt of US aid is by far its boldest move to date. With the Arab world going up in smoke Fatah officials know they cannot expect to receive any significant funding from Arab states for the foreseeable future. That makes them entirely dependent on US and Europe.
And make no mistake; the PA budget is entirely a creation of foreign aid. The PA is the largest per capita foreign aid recipient in the world. Last year it received $1.8 billion in foreign assistance. US direct assistance accounted for $550 million or nearly a third of that amount. The US gave the PA another $268 million in indirect assistance through UNRWA.
UNRWA is the UN agency devoted exclusively to providing welfare benefits to the Palestinians while subordinating itself to the Palestinian political agenda.
Without US assistance, the PA would cease to be a political factor in the region. So by offering to forego the aid, Fayyad, Abbas and their colleagues are essentially threatening to commit political suicide.