The EU announces aid of 1.6 billion euros to the Palestinians

Luxembourg – “We are strengthening our support for the Palestinian people. 1.6 billion euros until 2027 will help stabilize the West Bank and Gaza,” announced the EU’s foreign affairs chief Kaja Kallas on X.

About 620 million euros are allocated to the Palestinian Authority’s budget and 576 million for economic projects in the West Bank and Gaza, once the situation allows, the EU specified during a meeting of foreign ministers in Luxembourg.

The needs of the Palestinian Authority are estimated at around 9 to 12.5 billion dollars for the period 2024-2026, according to a European official. However, it has virtually no revenue, especially since Israeli authorities have denied it the transfer of owed taxes, particularly VAT.

The Europeans want to strengthen the Palestinian Authority as part of the two-state solution they advocate, despite Israel’s opposition. Palestinian Prime Minister Mohammed Mustafa met with the 27 ministers on Monday to discuss the situation and the reforms demanded by the EU. (April 14, 2025)