FM: Israel to withhold tax funds if UN recognizes Palestinian state

Foreign Minister Avigdor Lieberman said that the most useful step that Israel can take ahead of the Palestinians' statehood recognition bid is to form a proposal to renew negotiations. He said that the three main parties, from the Coalition and the Opposition, should be part of the proposal.

He also noted that if the UN recognizes a Palestinian state, Israel can stop transferring tax funds to the PA, and deny passage to senior Palestinian officials. (Moran Azulay)