The EU supports the Palestinian Authority’s (PA) Ministry of Social Development (MoSD) for the provision of basic social allowances to the most vulnerable families in the West Bank and Gaza through its Cash Transfer Programme (CTP). For this payment, the European Union has more than doubled its usual financial contribution providing €26.3 million, of which France allocated €8 million and Spain €1.5 million. The European funding is channelled through the PEGASE mechanism paying the social allowances of selected 70,108 families, which are verified by the PEGASE auditors to ensure their eligibility. Various independent and external checks are carried out before and after the European disbursement. The remaining 36,488 families are covered by the PA government budget.

"Social protection is a priority and a basic human right that should be maintained and protected by the governments all over the world. In Palestine, the European Development Partners have helped the Palestinian Authority in creating its own social protection system that includes a Cash Transfer Programme to support the poorest and most vulnerable. This programme is currently facing unprecedented challenges due to the prolonged PA fiscal crisis. This contribution, co-funded by Spain and France, demonstrates once again our joint European commitment towards the Palestinian people as we continue to call for reliable and timely payment of social allowances through this programme," said the EU Deputy Representative Maria Velasco.

“In these difficult times, France is proud to support the Palestinian government in answering the needs of its population through social allowances for the most vulnerable. With the help of our contribution, many poor and vulnerable Palestinian families will receive a much-needed support from the Ministry of Social Development. This support is key to help reduce poverty and mitigate the socio-economic crisis in Palestine”, said the Head of the French Cooperation, Guillaume Robert

"For many years, Spain has been providing reliable and predictable support to the Palestinian Government for the delivery of essential public services to the Palestinian population, ensuring ownership and contributing to the reduction of multi-dimensional poverty. This year our support is focused on meeting the urgent needs of the most vulnerable households identified by the Ministry of Social Development, with social assistance benefits", said the Head of the Spanish Cooperation, Ventura Rodríguez García.

Background:

Since 2008, most of the European Union's assistance to the Palestinian Authority (PA) is channelled through the PEGASE Direct Financial Support, supporting the PA reform process and various national development plans, currently the National Development Plan (NDP) 2021-2023. PEGASE supports the PA’s recurrent expenditures, mainly the salaries and pensions of civil servants, the social allowances paid through the cash transfer programme and part of the costs of referrals to the East Jerusalem Hospitals. Since February 2008, over €3 billion were disbursed through PEGASE by the European Commission and various development partners, mainly EU Member States. The European Joint Strategy 2021-2024 in support to Palestine is the basis for the implementation of the European development cooperation and provides a joint European response to the NDP priorities, including support to major reforms and to programmes implemented by key ministries in preparation for statehood. In addition, the EU provides assistance through UNRWA, the United Nations Relief and Works Agency for Palestine Refugees in the Near East.