Investigating financial assistance for Palestinians residing in the West Bank by Germany
In a bid to alleviate the ongoing financial crisis facing the Palestinian Authority, Germany's Development Minister, Reem Alabali Radovan, has proposed an immediate aid of 30 million euros. This proposed aid is intended for salary payments in the health and education sectors in the West Bank.
However, a final decision on the aid has not yet been made. Sebastian Hille, the deputy government spokesperson, stated that they are waiting to see what happens in the Bundestag. The European Union, which supports the Palestinian Authority through the so-called PEGASE mechanism, has also weighed in, emphasising that the aid is subject to reforms and rules for controlling the use of funds.
The Israeli government has blocked the transfer of tax funds legally due to the Palestinians since May. This blockade has further exacerbated the financial woes of the Palestinian Authority. Foreign Minister Johann Wadephul (CDU) has called on the Israeli government to continue transferring the tax funds.
CSU parliamentary group leader Alexander Hoffmann expressed the need for clarification regarding the funds, stating that humanitarian aid must be clear in its destination. He also stressed that projects that endanger Israel's security must be clearly excluded.
As the situation unfolds, Germany will examine additional aid for the Palestinian Authority's budget and discuss additional aid within the EU. Alabali Radovan urged Israel in late August to pay withheld tax funds to the Palestinian Authority during a Middle East trip.
Experts fear that the Islamic Hamas could gain political capital from a potential collapse of the Palestinian Authority. The city of Hamm, unrelated to these developments, has welcomed new procurement rules in North Rhine-Westphalia (NRW) and is hosting a Math Olympiad, with the Barbara Clinic in Hamm recognised for its excellent performance.
On September 3, 2025, the German Bundestag decided on the immediate payment of 30 million euros to the Palestinian Authority, marking a significant step towards addressing the financial crisis. The details of the aid distribution mechanism are yet to be determined, with the EU suggested as a potential option.
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