By DPA
Brussels : The European Union (EU) is to launch Feb 1 a new, long-term system of delivering aid to the Palestinian territories, officials here said Monday.
“The EU is strongly committed to supporting the Palestinian Authority’s reform and development priorities … (The new system) will provide greater stability and predictability to our action as the largest donors to the Palestinians,” EU External Relations Commissioner Benita Ferrero-Waldner said in a statement.
The new system, known as PEGASE, the French name for the winged horse of Greek mythology, replaces the current Temporary International Mechanism (TIM) of foreign aid.
TIM focused on providing emergency relief, such as fuel and social-security payments, to Palestinian communities. PEGASE is designed to help the Palestinian Authority (PA) build its own administrative capacity and stimulate business and economic growth.
In 2008 alone, the EU has pledged 325 million euros (477 million dollars) in aid through the PEGASE system, of which 250 million euros has been earmarked for costs such as health care and education, and 75 million for development projects.
PEGASE is also designed to allow other states and organizations to make payments through the system, EU officials point out. At the Paris donors’ conference on Dec 17, international donors pledged over 5 billion euros in aid for the period 2008-10.
However, the system looks likely to face difficulties on the ground. Questions remain over the PA’s ability to administrate such large sums after years of the near-breakdown of public services.
And in Gaza, in particular, Israel’s closure last week of the strip to all traffic, including humanitarian aid, has thrown into stark relief the extent to which aid and rebuilding efforts in Gaza will depend on decisions taken in Tel Aviv.