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Published: Friday April 11, 2014 MYT 3:11:18 AM
Updated: Friday April 11, 2014 MYT 3:12:30 AM

Israel takes economic steps against Palestinians - official says

JERUSALEM (Reuters) - Israel clamped economic sanctions on the Palestinians on Thursday in retaliation for their leadership signing international conventions, the second punitive measure in two days.

An Israeli official, speaking on condition of anonymity, said the country would deduct debt payments from tax transfers the Palestinian Authority routinely receives, and limit the self-rule government's bank deposits in Israel.

But Israel will press ahead with efforts to resolve a crisis in U.S.-brokered peace talks that threaten a collapse of negotiations launched last July after a three-year stalemate, the official said.

(Writing by Allyn Fisher-Ilan, Editing by Angus MacSwan)

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