Several countries have halted funding to the UN Relief and Works Agency for Palestinian Refugees (UNRWA) following Israeli allegations that UNRWA employees were involved in a deadly attack in Israel last October. The suspensions put the future of the agency, which provides critical aid to millions of Palestinians, at risk.
Credible Evidence of UNRWA Staff Involvement
On January 30th, Israel revealed what its Foreign Minister Yair Lapid called “ironclad” evidence linking over 190 current and former UNRWA employees to terror organizations, chiefly Hamas. This evidence includes details of several agency staff who allegedly helped plan or facilitate an attack in the southern Israeli city of Beer Sheva on October 7th, which killed 4 Israeli civilians.
Israel states 12 agency staffers directly participated in military or operational aspects of the attack. Its report lists over 60 UNRWA employees who have had family ties, past militant activities, or who have made social media posts praising violence against Israel.
The United States, Israel’s closest ally, says the provided evidence of UNRWA employee involvement in the Hamas attack is “highly credible.” Several major donor states to UNRWA seem to concur, taking swift action to freeze over $200 million in vital aid funding pending investigations.
International Donors Halt Contributions
On January 30th, European donors Belgium and Switzerland fully suspended UNRWA contributions. They were soon followed by the Netherlands, New Zealand, Norway and Denmark. Germany previously froze a portion of its funding on January 27th after media reports publicized some details of the Israeli intelligence dossier.
The United States, historically UNRWA’s largest donor, halted $135 million in funding to UNRWA on January 31st. In 2021 it provided over $318 million to the agency, nearly a third of its budget. This adds to an $80 million withdrawal of UNRWA pledges made in late 2022. Canada and Australia have also paused funding indefinitely.
| Donor | Funding Suspended |
|---|---|
| United States | $135 million |
| Germany | $118 million |
| Belgium | $29 million |
| Netherlands | $16 million |
| Switzerland | $11 million |
| Norway | $10 million |
| Denmark | $9 million |
| New Zealand | $4 million |
Collectively over 15% of the agency’s 2023 appeals, around $332 million, are now frozen amid the accusations. Russia has offered to replace the suspended funds, which critics call an attempt to leverage influence in the region.
Potential Catastrophe for Palestinians
UNRWA provides food, healthcare, education and more for 5.8 million Palestinian refugees in the Israeli-occupied West Bank and Gaza Strip, as well as Jordan, Syria and Lebanon. With deep poverty levels, Palestinians depend greatly on international aid, especially in Gaza which the UN has warned faces imminent “collapse.”
The UN Secretary General called UNRWA “a backbone of the humanitarian response” whose services are “extremely important to prevent negative consequences on regional security.” Aid groups echo this grave concern, saying the cuts risk “hastening famine” and will severely impact Gazans who rely overwhelmingly on UNRWA food and cash assistance.
UNRWA itself decried the suspensions, stating they “risk undermining the human development and dignity of Palestine refugees, and regional stability.” The Palestinian Authority urged donors to continue support, saying the decisions are “based on libelous allegations.”
Conflicting Accounts of UNRWA Role
Israel has long criticized UNRWA, claiming the agency perpetuates the Israel-Palestinian crisis by granting refugee status to descendants of Palestinians displaced after Israel’s founding. This expands eligibility indefinitely, with around 40% of UNRWA’s clients in Gaza and the West Bank actually born there as citizens.
Critics also accuse UNRWA of failing to vet properly for militant affiliations, citing past instances of Hamas weapon caches found in its schools. They say allowing terror elements to infiltrate the agency endangers regional security. UNRWA rejects this, stressing it conducts robust screening and regularly fires those proven to violate conduct policies.
Defenders argue the agency carries out vital, lifesaving work for one of the world’s most vulnerable communities. They say withdrawing support unjustly punishes Palestinian civilians and believe claims of systematic UNRWA terror ties are unproven.
Many await transparent investigation results before passing judgement. Though evidence may confirm isolated incidents, some experts say completely dismantling the current UNRWA infrastructure risks further Middle East instability. With positions deeply entrenched on both sides, no easy solutions are in sight.
The Path Ahead
Increased clashes between Israel and Gaza militants make this funding crisis especially worrying. The suspensions renew longstanding debates regarding the refugee issue and Palestinians’ future as the peace process remains stalled.
The level and type of continued UNRWA support hangs delicately in the balance. Donors stress they may resume contributions if pending investigations satisfactorily address terror concerns. However, finding alternative channels to meet Palestinian humanitarian needs, or reforming UNRWA entirely, have entered discussions.
With tensions already high, parties emphasize that ensuring stability in Gaza remains a top priority. Yet after decades of failed initiatives, forging consensus on resolving systemic barriers to a sustainable, equitable two-state solution looks more remote than ever.
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