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Source: European Commission
23 December 2012





Press Release
PR/28/2012
Jerusalem


23 DECEMBER 2012

Through EU PEGASE mechanism: Spain, Ireland, the Netherlands and Sweden contribute €7.4 million to the Palestinian Authority's November salaries and pensions

The European Union (EU) is making today a contribution of approximately €7.4 million to the payment of the November salaries and pensions of more than 84,000 Palestinian civil servants and pensioners in the West Bank and the Gaza Strip. This contribution is being channelled through the PEGASE[1] Direct Financial Support mechanism.

"In light of recent developments, I would like to underline once again the risks of jeopardising the major achievements of the PA in state-building if the current financial difficulties are not addressed by a common effort of the PA, Israel and donors. For today's contribution four different EU Member States provided funds to assist the PA in carrying on providing essential public services to its people – as any functioning administration", said the EU Representative Mr. John Gatt-Rutter". "I would like to thank the Governments of Spain, Ireland, the Netherlands and Sweden for their respective contributions and for entrusting the PEGASE Direct Financial Support mechanism with channelling their funds" he added.

Today's EU contribution is being funded by the Governments of Ireland (€1.0 million), the Netherlands (c.€1.2 million earmarked specifically to the PA salaries in the Justice sector, out of a total contribution of €5.0 million for 2012), Spain (€4.0 million) and Sweden (SEK 10.0 million or c.€1.2 million, out of a total contribution of SEK 45.0 million for 2012). The European Union has contributed more than €145.0 million to the payment of PA salaries and pensions during 2012, including €130.0 million from the European Commission.

Background

Most of the European Union's assistance to the Palestinian Authority is channelled through PEGASE, the financial mechanism launched in 2008 to support the PA Reform and Development Plan (2008-2010) and the subsequent PA Palestinian National Plan (2011-2013). As well as helping to meet a substantial proportion of its running costs, European funds support major reform and development programmes in key ministries, to help prepare the PA for statehood in line with the plan put forward by Prime Minister Salam Fayyad in August 2009. Since February 2008, around €1.4 billion have been disbursed through the PEGASE Direct Financial Support programmes. In addition, the EU has provided assistance to the Palestinian people through UNRWA and a wide range of cooperation projects.
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[1]Mécanisme Palestino-Européen de Gestion de l'Aide Socio-Economique (PEGASE)


Contacts:
The Office of the European Union Representative:
Antonia Zafeiri (02 5415 859, 0548 024 915) & Shadi Othman (02 5415 867, 0599 673 958)
http://eeas.europa.eu/delegations/westbank/

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