The Abraham Fund, a key component of the Abraham Accords, has been suspended by the Biden Administration. Globes has cited “US and Israeli sources close to the matter” as saying that President Biden has decided to suspend the fund indefinitely. Apparently the shutdown began just after President Biden assumed office, when he dismissed the Trump appointed head of the Abraham Fund Rabbi Aryeh Lightstone.
There is no official reason given for the suspension of the Abraham Fund. But speculation abounds that it was due to the Biden administration’s attempts to rein in spending. Observers fear that this could lead to the Gulf States cutting their pledged funding of new projects which came about because of the Abraham Fund’s founding.
The Abraham Accords are the peace deal signed between Israel and two Arab Gulf States, the United Arab Emirates and Bahrain. What’s that line from the Bible about the lion lying down with the lamb? Since the Abraham Accords were signed last summer financial investments have soared between Israeli business interests and those of Bahrain and the UAE. Such investments have ranged from defense, to alternative meat development and at one point a Sheikh from Bahrain even came close to buying a hare in Jerusalem’s Beitar soccer team.
In March, Israel Aerospace Industries (IAI) revealed plans to team up with Edge, the state owned defense firm of the United Arab Emirates for the development of an advanced C-UAS (Counter-Unmanned Aircraft System) Solution tailored to the UAE market. Last November Israeli VC Maniv Mobility became the first to invest in the UAE when the firm invested $3.8 million in an e scooter startup from the United Arab Emirates called Fenix.
There has also been a great deal of talk about a new oil pipeline going through Israel, connecting the Persian Gulf to the Mediterranean. If it is ever completed, oil would be shipped from the Red Sea port of Eilat to the Mediterranean Sea along the Eilat Ashkelon Pipeline Company (EAPC).
The Abraham Fund was launched last October with $3 billion in funds. The Abraham fund stated that its goal was to realize the commitments in the Abraham accords. The money was devoted to the development investment market in the private sector and to “promote economic cooperation and to encourage prosperity in the Middle East and beyond. The countries who are partners in establishing the fund will welcome other countries joining in order to promote its aims.”
The Abraham Initiatives were established, in part, to foster “equal citizenship and complete equality of social and political rights for Israel’s Jewish and Arab citizens.” This was said to be in keeping with the gals stated in Israel’s Declaration of Independence. The Declaration states, specifically, that Israel would be a national homeland of the Jewish people as well as full and equal home for its Arab minority population.