From israel matzav , via Jerusalem Posts:

Could it be that the world's largest recipient of foreign aid per capita with the expert suit-and-tie-clad businessman at its helm is going bankrupt? That's what the 'Palestinian Authority ' is telling the Jerusalem Post on Tuesday morning. The reason for the 'bankruptcy'? No, of course it's not that they spent more than they took in. It's that they didn't take in enough. You see, many of the 'donor countries' - especially the Arab ones - haven't been ponying up their money now that a barrel of oil 'only' costs $126 instead of $147....

The officials told The Jerusalem Post that the PA wouldn't be able to pay July salaries to more than 150,000 public servants and may be forced to close down several government institutions as a result of the deepening crisis.

I know one place they could cut back - they could stop paying 'salaries ' for all their 'employees ' in Gaza who haven't come to work in over a year. At least 40% of the 'Palestinian Authority's 'budget' is spent in Gaza, which they do not even control.