JERUSALEM — Israel announced Sunday that it would withhold millions of dollars in taxes and customs duties from the Palestinian Authority but stopped short of harsher sanctions against a new government and Hamas-dominated parliament.
A day after Hamas assumed control of the Palestinian parliament, the movement formally nominated one of its best-known figures, Ismail Haniya, to be prime minister. Palestinian Authority President Mahmoud Abbas was expected to ask Haniya, who is considered a pragmatist, to form a government.
Israel said it would try to dissuade foreign governments from providing economic aid to the Palestinian Authority and would tighten security checks at the Gaza Strip border in an attempt to reduce the flow of Palestinian workers and goods into Israel. Israel also will try to stop other countries from supplying weapons and other military equipment, which the Palestinians have sought for their security forces.
Israeli leaders set aside more sweeping sanctions recommended last week by the defense establishment that in effect would have cut the Gaza Strip off from Israel and the West Bank by halting the passage of people and cargo. Among the options were to stop allowing workers into Israel and rescind permission for construction of a Gaza seaport.
Israeli media characterized Sunday's measures as part of a strategy to gradually increase pressure on the Palestinian Authority after Hamas' surprising victory in parliamentary elections last month. Israel could tighten the restrictions later.
"This is a measured response. We will respond to what happens on their side and leave as many options open as possible," said Israeli Foreign Ministry spokesman Mark Regev.
Israeli leaders hope to isolate the Palestinian government internationally if Hamas does not recognize Israel, renounce violence and acknowledge past agreements, such as the 1993 Oslo peace accords. The U.S., Russia, the European Union and the United Nations, who are trying to broker a Mideast peace deal, also have warned that aid to the Palestinian Authority could be in jeopardy.
After Hamas' victory, Israel held up the transfer of about $55 million in revenue collected on behalf of the Palestinian Authority under a 12-year-old economic pact. It later agreed to transfer those funds, which are desperately needed by the Palestinian government, but warned that it might not do so after Hamas took office. The collections average about $50 million a month.