EU Announces EUR-1.6-Bln Support For Palestinians

(MENAFN- Kuwait News Agency (KUNA)) BRUSSELS, April 14 (KUNA) -- The European Union announced on Monday a new three-year financial support package for the Palestinians worth approximately EUR 1.6 billion (USD 1.8 billion).
The announcement comes ahead of the first high-level meeting between the Palestinian Authority, attended by Palestinian Prime Minister Mohammed Mustafa, and EU foreign ministers in Luxembourg.
EU High Representative for Foreign Affairs and Security Policy Kaja Kallas posted on the social media platform X: "We are stepping up our support to the Palestinian people. آ€1.6 billion until 2027 will help stabilise the West Bank and Gaza. The EU will invest in essential infrastructure while delivering humanitarian aid and support for refugees. We are a long-standing partner for the PA."
In a press release, the European Commission said the programme, which will run from 2025 to 2027, is structured around three main pillars: support for services for the Palestinian people, support for recovery and stabilization in the West Bank and Gaza, and support for the private sector.
The aid package will include a EUR-620-million grant in the form of direct budget support to the Palestinian Authority; an increase compared to previous years. This funding will help the PA meet urgent needs in public administration and allow it to continue providing essential services to its people.
The statement noted that "most EU disbursements will be linked to the PA's progress on key reforms, including fiscal sustainability, democratic governance, private sector development, and public infrastructure and services, contributing to the building of a sustainable Palestinian state."
Additionally, the aid will include a EUR-576-million grant "to support projects aimed at enhancing economic recovery and resilience in the West Bank, East Jerusalem, and Gaza when situation on the ground allows."
The Commission added that EUR 82 million per year will be allocated to provide services to Palestinian refugees through the United Nations Relief and Works Agency (UNRWA) in the occupied Palestinian territories and the broader region, enabling the UN agency to "continue playing its crucial role both as humanitarian and development actor."
An additional EUR 400 million will be provided as loans through the EU's lending arm; the European Investment Bank (EIB).
This new package announced today follows a previous three-year support plan worth EUR 1.36 billion for the period 2021-2024. (end)
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