Tuesday

19th Sep 2017

EU releases aid to prevent Palestinian administration collapse

EU external affairs commissioner Benita Ferrero-Waldner on Monday (27 February) announced a €120 million aid package to the Palestinians in order to avoid a breakdown of the Palestinian administration.

"Today I will announce a very substantial package of assistance to meet basic needs," the commissioner said ahead of an EU foreign ministers meeting according to agency reports.

Thank you for reading EUobserver!

Subscribe now and get 40% off for an annual subscription. Sale ends soon.

  1. €90 per year. Use discount code EUOBS40%
  2. or €15 per month
  3. Cancel anytime

EUobserver is an independent, not-for-profit news organization that publishes daily news reports, analysis, and investigations from Brussels and the EU member states. We are an indispensable news source for anyone who wants to know what is going on in the EU.

We are mainly funded by advertising and subscription revenues. As advertising revenues are falling fast, we depend on subscription revenues to support our journalism.

For group, corporate or student subscriptions, please contact us. See also our full Terms of Use.

If you already have an account click here to login.

The package would include €40 million to pay the Palestinian authority's electricity bills.

"In effect we will pay electricity bills for them, direct to the utilities concerned, including in Israel," the commissioner said.

Humanitarian aid worth €64 million will be channelled through UN agencies for Palestinian refugees, she added.

Another €17.5 million will be used to pay the salaries of the Palestinian administration, constituting the only part of the package paid directly to the Palestinian Authority.

The EU's move comes after last month's election victory of radical islamist movement Hamas, which is on the EU's list of terrorist organisations.

European diplomats earlier indicated that despite Hamas' victory, an immediate withdrawal of EU funding was not an option, as this would mean a break-down of the Palestinian administration, which is feared would be followed by chaos and fresh violence.

The 25-member bloc is awaiting Palestinian coalition-building efforts, which officials say could last as long as three months.

The EU is the largest international donor to the Palestinians, with aid amounting to €500m a year.

International Middle East envoy James Wolfensohn warned that without emergency funds, the Palestinian Authority would face financial collapse within two weeks now that Israel has cut off tax transfers, according to Reuters.

"If the freeze on Israeli transfers continues, there will continue to be a significant shortfall in the Palestinian finances,'' Ms Ferrero-Waldner said.

'I thought I was safe in Europe'

Arrest of Turkish dissident has again highlighted the way rogue regimes use Interpol to hunt their enemies inside the EU.

Stakeholders' Highlights

  1. EU2017EEFour Tax Initiatives to Modernise the EU's Tax System
  2. Dialogue PlatformResponsibility in Practice: Gulen & Islamic Thought
  3. Counter BalanceHuman Rights Concerns Over EIB Loan to the Trans Anatolian Pipeline Project
  4. Mission of China to the EUChina Leads the Global Clean Energy Transition
  5. CES - Silicones EuropeFrom Baking Moulds to Oven Mitts, Silicones Are a Key Ingredient in Kitchens
  6. Martens CentreFor a New Europeanism: How to Put the Motto "Unity in Diversity" Into Practice
  7. Access MBAGet Ahead With an MBA Degree. Top MBA Event in Brussels
  8. Idealist QuarterlyIdealist Quarterly Event: Building Fearless Democracies With Gerald Hensel
  9. Mission of China to the EUPresident Xi Urges Bigger Global Role for Emerging Economies
  10. EU2017EEAre We Socially Insured in the Future of Work?
  11. European Jewish CongressFrench Authorities to Root Out "Societal Antisemitism" After Jewish Family Assaulted
  12. European Federation of Local Energy CompaniesClean Energy for All? On 10.10 Top-Level Speakers Present the Clean Energy Package