Amid Reform Demands, Abbas Names Adviser as Prime Minister

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TL/DR –

Palestinian President Mahmoud Abbas has appointed Mohammad Mustafa, a US-educated economist, as the next prime minister as part of the US’s push to reform the Palestinian Authority for Gaza’s postwar vision. Abbas tasked Mustafa with drafting a plan to reunite administration in the West Bank and Gaza, lead government reforms, and fight corruption. It remains unclear whether this will satisfy US demands for reform, as Abbas will remain in control, and Mustafa’s appointment has been met with opposition from Israeli Prime Minister Benjamin Netanyahu and ongoing Israel-Hamas conflict.


Abbas Appoints Economic Adviser as New Palestinian Prime Minister amid U.S. Pressure for Reforms

Palestinian President Mahmoud Abbas has appointed his economic adviser, Mohammad Mustafa, as the next prime minister, in response to U.S. pressure for reforming the Palestinian Authority, part of Washington’s strategy for Gaza postwar. Israeli Prime Minister Benjamin Netanyahu highly opposes these plans.

Mustafa will lead a technocratic government in the Israeli-occupied West Bank, potentially administering Gaza towards statehood. The effectiveness of this new cabinet, led by an Abbas ally, to meet U.S. reform demands is still uncertain.

“People want a real change in politics, not a change in names. They want elections,” Hani al-Masri, a Palestinian political analyst, said. Mustafa is also facing the daunting challenge of improving conditions in the West Bank, grappling with an economic crisis caused by Israeli war restrictions.

In announcing Mustafa’s appointment, Abbas emphasized the need for reform in the government, security services, and economy; combating corruption; and reuniting the West Bank and Gaza administration.

The U.S. has expressed support for Mustafa’s appointment and urged him to swiftly form a cabinet to enact changes. “A reformed Palestinian Authority is essential for the Palestinian people’s stability in both the West Bank and Gaza,” said National Security Council spokesperson Adrienne Watson.

Mustafa, a U.S.-educated economist, has previously held senior positions at the World Bank and served as deputy prime minister and economy minister. Currently, he acts as the chairman of the Palestine Investment Fund. The previous prime minister, Mohammad Shtayyeh, resigned last month.

Despite Abbas’s recognition of Israel and commitment to a peaceful solution, he is unpopular among Palestinians.

With regards to the PA’s budget, Israel has suspended some of the taxes and customs duties it collects on behalf of the PA, contributing to years of budget shortfalls.

The U.S. has called for a reformed PA to expand its influence to Gaza, ahead of the eventual creation of a Palestinian state in both territories.

Despite Israel’s annexing of east Jerusalem and building settlements across the West Bank, the Palestinians desire all three territories to form their future state.

Israel, along with Egypt, imposed a blockade on Gaza when Hamas seized power. Netanyahu has pledged to dismantle Hamas and maintain control over Gaza following Hamas’ Oct. 7 attack, which resulted in over 31,000 Palestinian casualties.

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