Palestinians will not be 'blackmailed' by Trump funding threat: senior official

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This isn't the first time the Trump administration has threatened to cut off funding following USA recognition of Jerusalem as Israel's capital.

The Palestinian President's office rebuffed Mr Trump's remarks, saying: "Jerusalem is not for sale, neither for gold nor silver".

His rant came a month after sparked a "day of rage" in Palestine over plans to move the U.S. Embassy in Israel from Tel Aviv to religiously sensitive Jerusalem.

Egypt's foreign ministry on Thursday announced that Israel's amendments to a law making it more hard to relinquish control over parts of Jerusalem in any further peace deal with the Palestinians is illegitimate. "By recognizing Occupied Jerusalem as Israel's capital Donald Trump has not only violated of global law, but he has also singlehandedly destroyed the very foundations of peace and condoned Israel's illegal annexation of the city", it said".

Trump wrote on Twitter that the USA sends hundreds of millions of dollars each year and gets "no appreciation or respect".

"We will not be blackmailed", Ashrawi said in a statement on Wednesday.

The legislative move came as Trump threatened to take away hundreds of millions of dollars of aid payments to the Palestinians, on the grounds that they "are no longer willing to talk peace".

Haley's comments don't make it clear whether the U.S.is seeking to defund or withdraw contributions to UNRWA until the Palestinians "return to the negotiating table" with Israel. As of now, they're not coming to the table but they asked for aid.

President Trump's tweets came nearly a month after he became the first sitting US President to recognize Jerusalem as Israel's capital drawing Palestinians into the streets in protest
Israel passed a new law hampering chances for peace, right before Trump blamed the Palestinians

Also on Tuesday, Israel's Knesset amended its Basic Law - the closest thing Israel has to a constitution - to make it even harder for the country to give up its claim to any part of Jerusalem in a future peace deal.

"By recognizing Occupied Jerusalem as Israel's capital Donald Trump has not only violated worldwide law, but he has also singlehandedly destroyed the very foundations of peace and condoned Israel's illegal annexation of the city, Ashrawi said in a statement".

She added: "We still very much want to have a peace process".

The United Nations Relief and Works Agency (UNWRA) that is now targeted by the U.S. provides education, health care, and social services to the Palestinian diaspora in Jordan, Lebanon, Syria, the Gaza Strip and the West Bank, including East Jerusalem. However, it is also a disputed territory, contested by both Israel and Palestine, which sees it as a capital of its future state. The #US is the largest bilateral donor. Let them vote against us.

There was no immediate reaction from Palestinian officials to Trump's tweets on Tuesday.

"We will not be blackmailed".

It was not immediately clear whether Trump was threatening all of the budget, worth $319 million in 2016, according to U.S. government figures.

When @nikkihaley says the #US will stop funding @UNRWA - how big is the threat?

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