Government borrowing from the Palestinian banking system has reached the maximum tolerable risk limit as per the sound banking principles, governor of the Palestine Monetary Authority Jihad Al-Wazir said Monday. He noted that banks operating in Palestine have increased their lending to the government in the last two months by over $300 million, which makes banks unable to increase their lending in the coming period unless actual repayments from donor countries are made. Wazir said in a statement that the Palestine Monetary Authority, sort of central bank, has taken in the last few years several supervisory measures aimed at enhancing and strengthening the efficiency of the banking sector and its ability to absorb shocks in anticipation of regional and international political and economic developments. He added that “the Palestine Monetary Authority strives consistently to maintain the strength of banks\' financial positions, especially in view of the regional and the European financial crisis development.”