Sunday May 14, 2006

I'm Predicting:

Next week Russian President Vldamir Putin will host Mahmoud Abbas of the Palestinian Authority.

The main topic on their agenda is aid to the Palestinians.
The Russian already forked over $10 million USD to the PA last week.
Abbas wants Russia to convince the US to lift the international pressure that is stopping the transfer of funds to the Hamas-led PA.

This mission will fail.
The entire Palestinian financial crisis is problematic.

The Palestinians have their own resources but have chosen not to dip in yet and help themselves out. They have $1.3 billion in accounts and could easily draw several hundred million in interest without touching the principle.
They also have hard assets. They own hundreds of millions of properties and businesses around the world. Those could be liquidated to relieve the pressure.

Palestinians take - they do not give.