The newspaper quoted a Foreign Ministry press official as saying that the fund will be used to meet the Palestinians' social and humanitarian needs, and that a date for transferring the money has yet to be agreed upon.

And the official did not say whether Russia would offer additional aid to the Palestinians.

Finance Minister of the Palestinian government Omar Abdel Razektold Izvestia that Palestine hopes Russia would provide aid on a monthly baisis.

At a recent UN Security Council conference on the Middle East peace process, Russia's representative Konstantin Dolgov called on the international community to continue providing aid to the Palestinian National Authority and said Russia opposes any attempt to isolate the legitimate Palestinian government.

Refusing to provide aid would be a grave mistake, which could paralyze the Authority and cause turbulence in Palestine, and result in fresh violence and confrontations, he warned.