Banking on politics — Israel and the Palestinian financial crisis

4:03 — Board of Peace disarmament plan
12:50 — Finance Minister Bezalel Smotrich’s role in Palestinian banking crisis
22:30 — West Bank liquidity crisis and economic impact

Welcome to The Times of Israel’s Daily Briefing, your 20-minute audio update on what’s happening in Israel, the Middle East and the Jewish world.

US bureau chief Jacob Magid joins host Jessica Steinberg for today’s episode.

As Iran rebuffs US President Donald Trump, insisting there are no ongoing talks between the two parties, Magid notes that the regime’s denials have frustrated the US leader, while Iran doesn’t seem deterred by the president’s incendiary language.

Magid discusses the sense of anticipation among Board of Peace members about convincing Hamas to agree to its disarmament proposal. The Israeli government, however, is not on board with the plan. And it has continued to carry out strikes against Hamas, notably including terrorists who invaded on October 7, 2023, and those who abducted hostages — which could sabotage the deal. Israel’s objections to the deal, says Magid, has apparently led the board to accept a more gradual withdrawal for Israel from the ceasefire lines in Gaza.

In the second half of the podcast, Magid reviews the ongoing banking crisis in the Palestinian Authority, after Finance Minister Bezalel Smotrich signed a last-minute waiver that supports Israeli banks providing services crucial to keeping the West Bank economy afloat.

Subscribe to The Times of Israel Daily Briefing on Apple Podcasts, Spotify, YouTube, or wherever you get your podcasts. Ari Schlacht produced this episode.

IMAGE: US bureau chief Jacob Magid appears on the Daily Briefing podcast with host Jessica Steinberg (Flash 90)

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