Political and economic relations

The European Union (EU) works with the Palestinian Authority (PA) to build up the institutions of a future democratic, independent and viable Palestinian State living side-by-side with Israel in peace and security. The EU has played an active role since the start of the Middle East Peace Process, and together with the United States, Russia and the United Nations, it is a member of the Middle East Quartet, which supports the implementation of a two-state solution based on the 2003 Roadmap for Peace. These efforts are regularly debated by the EU Council of Ministers.

The PA is a full partner within the European Neighbourhood Policy (ENP). A joint EU-PA Action Plan concluded in 2013 set the agenda for economic and political cooperation with the EU. The legal basis for the EU’s relations with the PA is the Interim Association Agreement on Trade and Cooperation signed with the PLO on behalf of the Palestinian Authority.

The European Union - European Commission and EU Member States - is the biggest multilateral donor of financial assistance to the Palestinians.
Community support for the Palestinian Authority's 2007 - 2010 Palestinian Reform and Development Plan is channelled through the PEGASE mechanism. The European Union is the largest multilateral donor to Palestine refugees through UNRWA.