Netanyahu Warned of Hamas Military Use of Qatari Funds, Investigation Reveals

An investigative report by Ronen Bergman and Yuval Rubovich, published in Yediot Ahronot, alleges that Israeli Prime Minister Benjamin Netanyahu was repeatedly warned by intelligence agencies, including the Shin Bet and military intelligence (AMAN), and even Egypt, starting in 2019, that millions of dollars in Qatari funds he had facilitated for Gaza were being diverted to bolster Hamas's military capabilities. Intelligence estimates suggested these funds covered 40-50% of the annual budget for Hamas's military wing, the Izz ad-Din al-Qassam Brigades. Despite these warnings, the investigation claims Netanyahu took no action to halt the funding.

According to the report, Netanyahu initiated and supported the transfer of Qatari funds to Hamas, initially framing it as humanitarian aid for Gaza's residents. This policy was part of a strategy to weaken the Palestinian Authority and maintain calm in Gaza after the PA ceased its payments. Intelligence indicated that Qatar continued to channel funds to Hamas's military wing, even through Iran's Quds Force, as part of broader relations with Tehran. The Qatari grant, agreed upon in 2018 and formalized in 2019, amounted to approximately $30 million per month. Intelligence reports, under codenames like "Sparkling Crystal" and "Panther Eye," estimated that $4 million monthly, and potentially hundreds of millions overall, were diverted to Hamas's military operations.

Former Shin Bet chief Nadav Argaman reportedly opposed the Qatari money policy, viewing it as a strategic error that weakened the Palestinian Authority and undermined Egypt's regional security role. Current Shin Bet chief Ronen Bar also stated in writing that the agency had consistently objected to the Qatari transfers and had proposed risk mitigation mechanisms. Bar provided evidence that the funds indirectly reached the military wing, citing an instance in September 2020 where Hamas ceased launching incendiary balloons after Qatari payments resumed, a move the Shin Bet opposed as it "taught" Hamas how to leverage escalations.

In a 55-page document presented to a Knesset committee in February 2025, Netanyahu offered his version of events leading to the October 7th attacks. He acknowledged some diversion of funds but described it as minor, around 1% of the total received, and claimed Qatari grants were not "directly" sent for terror needs. He also cited a Shin Bet head's 2019 statement that refusing Qatari money would increase escalation risks, omitting, according to sources, the context that stopping payments would have significantly raised those risks. Netanyahu's explanations have varied over time, from calling claims of military use "fiction" to downplaying their significance.

The investigation highlights that Israel only implemented stringent economic measures against Hamas financing, including targeting money changers, after October 7th, suggesting such actions were politically feasible earlier. The Prime Minister's office, in response to the report, called the allegations "recycled lies" and stated that all security chiefs supported the Qatari grant, which ensured calm in Gaza. They also claimed Netanyahu ordered the grant suspended at the start of Operation "Guardian of the Walls," but the Bennett-Lapid government later renewed it.