Fixing Palestine

In 1995 and 6 I led IMF technical assistance teams to Israel to establish the Palestine Monetary Authority as called for by the Oslo Accord. We were excited by the prospects of contributing to peace between the Arab and Jewish populations who had occupied the area for millennia (as well as new arrivals). We spoke, as did many others, of the Oslo Peace Process establishing a two-state solution to the struggles between the Palestinians and Jews since the establishment of Israel in 1948. In fact, we should have referred to the Oslo Accords as establishing only a step, a rather small one at that, toward a two-state solution—two independent states following Israel’s occupation of the West Bank and Gaza Strip in 1967.

I wrote about these experiences in “Palestine-The Oslo Accords Before and After-My Travels to Jerusalem” Our work was greatly facilitated by the fact that the governors of the Bank of Israel, Stan Fischer, and of the newly created Palestine Monetary Authority, George Abed, had been IMF colleagues. I asked each if they would write the foreword to my book. Stan declined saying that it was too sensitive a topic and George declined saying that my book was unfair to the Palestinians.

I have just finished reading a new account of the efforts to find peace in the area by two insiders with much wider exposure than I had had:  “Tomorrow is Yesterday-Life, Death and the Pursuit of peace in Israel/Palestine” by  Hussein Agha and Robert Malley. And I concluded that George Aben had been right about my account.

The two authors had been intimately involved in the many efforts to find agreement between the relevant parties. Drawing on their experience advising the Palestinian leadership (Arafat and Abbas) and US presidents (Clinton, Obama, and Biden) and their participation in secret talks over decades, Agha and Malley expose the weaknesses of those efforts and point to the potential of a very different approach. “They stress that the two-state solution became a global goal only when it was no longer viable; that U.S. officials preferred technical schemes to a frank reckoning with the past; that Hamas’s onslaught [on Oct 7, 2023] and Israel’s war of destruction were not historical exceptions but historical reenactments; and that the gaps separating Israelis and Palestinians have less to do with territorial allocation than with history and emotions.” From Amazon Books website.

Robert Malley was the United State Special Envoy for Iran in 2021-23 and as Special Assistant to President Clinton from 1998 to 2001, he was a member of the U.S. peace team and helped organize the 2000 Camp David Summit. Hussein Agha, a Lebanese, is a senior associate of Oxford University’s St. Antony’s College was a senior associate fellow at Chatham House.

Malley and Agha stress the diversity of players in the search for peace—ultra orthodox to nonreligious Jews—Palestinian groups that spent more energy fighting one another than fighting Jews. Selecting Israeli prime minister Ehud Barak and Palestinian Authority chairman Yasser Arafat for US lead negotiations at the Camp David summit left out most groups and many relevant issues. The authors end with the somewhat encouraging call to return to the beginning (1948 and before) and seating all Jewish and Palestinian groups at the table to take on the fundamental issues of history head on if there is any chance of finding the compromises needed to live together in peace with one, two, or more states as options.  https://wcoats.blog/2024/01/19/one-state-solution-for-palestine-israel/   Their narrative is a very enlightening account. 

Palestine

Starting in July 1995, I led IMF technical assistance teams to Israel and the West Bank and Gaza to help implement the provisions in the Oslo Accords to establish a monetary authority (Central Bank). These visits were at the invitation of the Israeli government and began and ended with briefing meetings with officials at the Bank of Israel in Jerusalem. I later led the IMF’s Financial Stability Assessment of Israel. The last of my eleven visits was in December 2013.

Following Israel’s occupation of the West Bank and Gaza Stripe (WBGS) in 1967, it allowed Palestinian skilled workers to fill labor needs in Israel. In the mid 1980s 40% of the Palestine workforces was employed in Israel. But prior to my first visit Israel closed that door and began importing workers from North Africa to fill the resulting shortage.

Looking back, in light of Israels on going attacks on Gaza, West Bank, Lebanon, Syria and Iran, (what a Financial Times article headlined as “Israel’s Spiraling Offensive” https://www.ft.com/content/cbe18019-752f-4770-be40-fe4b2dc5abd7?d )  I am surprised at what we close our eyes to officially and unofficially.

We knew that Jewish settlements in the West Bank (and earlier in Gaza) on land stolen from Palestinians were in violation of the Fourth Geneva Convention, which prohibits the transfer of an occupying power’s civilian population into occupied territory. But in our Financial Stability Assessment of Israel, we ignored the financial implications for Israeli bank loans to setters on the grounds that the Israeli government would bail them out for any loses incurred. Looking back, I don’t really know where this judgement came from, but we understood that we were to ignore the Settlements.

During one of my missions we saw a new Jewish settlement being born before our eyes. A few dozen Jewish families had parked their trailers on Palestinian land. When Palestinians protested the theft of their land, the Settlers call on the Israeli Army for protection. Subsequently they would build permanent houses on this property.

On most of my missions to the WBGS we stayed in the famous American Colony Hotel in East Jerusalem (Laurence of Arabia had stayed there as had Peter O’Toole while later filming the movie). From there we had to drive each day to Ramallah, the headquarters of the Palestine Authority and future home of the Palestine Monetary Authority we were helping create.  Two features of our daily drive confronted us with how Israel was treating the Palestinians in the territories it occupied.

Israel was building separate Jewish only highways through the West Bank and to Gaza. Most Palestinians working in Ramallah commuted each day on their own roads.  There were separate entry check points for Palestinians and for Jews (and the international community such as us). We sailed through the Jewish entry, where our UN passports were quickly reviewed, while it took an hour or two for most Palestinians lined up at their check point to enter every day. I was amazed that Palestinian anger at such treatment was so subdued and seldom expressed.

Our several trips to Gaza and my meeting with Yasser Arafat and near abandonment in the desert are a fascinating story in their own right that you can read in my book:  “Palestine-Oslo Accords – My Travels to Jerusalem” Hearing the explosion of a terrorist attack on a Jerusalem bus while eating breakfast in the American Colony Hotel and subsequently fleeing to Jordan across the tiny Allenby Bridge over the Jordan River are also discussed in the same book.

The alternative to war

As Israel continues to slaughter women and children in Gaze, Hezbollah continues to flatten norther Israel, Russia continues roll back Ukrainian troops in Ukraine, I have tried to follow the pronouncements from all sides. The solution proposed by each is to win the war.

But can winning the war bring peace and security to Israel, to West Bank and Gaza, or to Ukraine? Israel wants to eliminate the Palestinians, but Germany’s genocide of six million Jews did not eliminate Jews. Israel’s genocide of Palestinians will not illuminate them either and even its systematic assassinations of Hamas rulers (most recently Ismail Haniyeh in Iran) will not eliminate Hamas. Peace will not come to Israel, the WBGS, Lebanon, or Syria by winning THE WAR.

 “While Israel has not yet issued an official statement, with the attack [on Haniyeh], it has reinforced the message that it speaks with the language of force above all else…. Assassinating Haniyeh, perhaps the most important member of Hamas’s negotiating team, fits within Israel’s narrative that the only way to achieve an end to the Gaza war is to force Hamas to surrender militarily. To most of the rest of the world, the assassination of a lead negotiator for a potential peace deal is certainly viewed as a bloody sabotage of multinational efforts to end the genocidal war.” “Assassination of Hamas leader Haniyeh”  “From Paris to Beirut-Israels long record of assassinating Palestinians”

As long as the focus remains on winning wars, none of the Middle Eastern countries will be safe and at peace. The countries of the Middle East (or anywhere else) must determine and accept the terms for mutual treatment appropriate for good neighbor relationships. “Israel Hamas Iran Gaza Middle East”   Arriving at such agreements will not be easy, and will not be possible without large majorities of the populations of these countries truly wanting peace and security and being willing to treat each other fairly. “Best way to end Israels war with Gaza” “Why Palestinian unity matters”  But the search for such genuine peace must start with giving up the idea of winning the war and ending the current fighting.

From the River to the Sea–One State

Under Benjamin Netanyahu and his far-right coalition government, Israel is committing suicide. These are my thoughts on how it might be saved.

Israel’s response to Hamas’s brutal attack on Israel on Oct 7 has been the most inhuman effort to wipe out a people since the Holocaust. Netanyahu called for revenge “implementing a ‘full siege’ of the densely populated Gaza Strip — ‘no electricity, no food, no fuel,’ said Defense Minister Yoav Gallant — as part of a campaign that is aimed at destroying Hamas’s military capabilities” Wash Post “Israel-Gaza war Hamas”  As of May 14th “Palestinian health authorities say Israel’s ground and air campaign in Gaza has killed more than 35,000 people, mostly civilians, and driven most of the enclave’s 2.3 million people from their homes.” https://www.reuters.com/world/middle-east/gaza-death-toll-how-many-palestinians-has-israels-campaign-killed-2024-05-14/

Virtually every country in the world except the US has condemned Israels genocide as have many Jews. The Washington Post has an excellent account of a mother and son coping with opposite views on these events: https://www.washingtonpost.com/nation/2024/05/19/israel-gaza-university-protests-arrests/

The International Criminal Court (ICC) has applied for warrants for the arrest of Hamas leader Yehiya Sinwar, Izzedine al-Qassam Brigades leader Mohammed Diab Ibrahim al-Masri and Hamas political chief Ismail Haniyeh, as well as Israeli Prime Minister Benjamin Netanyahu and Defense Minister Yoav Gallant for alleged war crimes and crimes against humanity in their conduct in these attacks. US congressional and administration officials have attacked the ICC’s initiative (though it is supported by every legal authority I respect) and threatened retaliation in a display of the hypocrisy increasingly undermining US status in the world.

Patrick Leahy, author of the Leahy Law, which “prohibits U.S. aid to any unit of a foreign security force if the secretary of state has “credible information” the unit has committed a gross violation of human rights: murder, rape, torture, forced disappearance or other flagrant denials of the right to life, liberty and personal security.” states that Israel is guilty of such violations and the law should prevent Biden from sending weapons to Israel. https://www.washingtonpost.com/opinions/2024/05/20/israel-leahy-human-rights-aid/

The recent attack and counterattack were continuations of 70 years of unresolved relations between the areas Palestinian and Jewish residents. Netanyahu remains adamantly against revising the Two State Solution (Oslo Accord) future and Saudi Arabia is equally insistent on it. Ireland, Norway, and Spain will officially recognize Palestine as a state from next week and other countries are expected to follow. 

The so far unsurmounted challenge was not a result of the gathering of Jews in what is now Israel, but the determination to make it a democratic Jewish State. Religious states, such as Iran, are always problematic. Israel can only be a democratic Jewish state by eliminating one way or another most Palestinians. American’s founding fathers had the wisdom to prohibit that by putting the separation of church and state in our constitution.

If Israel gave up being a Jewish state it could remain democratic and absorb the entire area from the River to the Sea. And every resident would receive the same protection of the law and equal rights. It should consider a federal structure in which smaller districts with local administrations might well be predominately Muslim or Jewish. https://wcoats.blog/2024/01/19/one-state-solution-for-palestine-israel/