Palestinian President Mahmoud Abbas said he's determined to go to the United Nations in September to press the case for Palestinian statehood, even if the Palestinians face an aid freeze.
At a conference in the West Bank city of Ramallah on Saturday, Abbas told delegates that the Palestinians might endure a financial blockade if they go to the UN.
"We don't intend to starve, but what's the solution?" he said. "We can't accept someone telling us to take the money and drop our demands."
Chief Palestinian negotiator Saeb Erekat said on Friday that the United States had warned of a cut in aid to the Palestinians if they proceed with a unilateral bid for statehood at the UN.
Israel and the US strongly oppose the Palestinian plan, saying Palestinian statehood should only be achieved through negotiations, which have been stalled for almost a year.
The statehood initiative reflects frustration with the long stalled Israeli-Palestinian peace negotiations.