What’s happening:

The European Union’s senior diplomat, Josep Borrell, expressed concerns over the suspension of funds to the United Nations Relief and Works Agency for Palestine Refugees in the Near East (UNRWA), warning of severe consequences for hundreds of thousands of people.

Why it matters:

Several countries including the US, UK, and Italy have halted their financial support to UNRWA after reports surfaced alleging staff members were involved in a Hamas massacre back in October that killed and kidnapped Israeli civilians. This suspension could lead to the shutdown of UNRWA operations across the Middle East by the end of February, given that funds paused by donors represent nearly half of the agency’s expected income for the year.

The implications:

Josep Borrell emphasized that, despite the serious nature of the allegations, cutting off funding risks harming the population that relies heavily on UNRWA’s services, rather than addressing the misconduct of individual staffers. He affirmed that neither Germany nor France plans to stop contributions and is confident that the UN will follow the necessary procedure in light of the accusations levied by Israel.

The backdrop:

UNRWA dates back to 1949 and is charged with assisting the descendants of the original Palestinian refugees from the Arab-Israeli war that followed Israel’s founding. With around 30,000 Palestinian employees, UNRWA addresses the needs of 5.9 million refugees across Gaza, West Bank, and neighboring Arab countries. However, the agency’s alleged connection with terror groups and incitement has led to mounting criticisms from Israel.

The response from Israel:

Prime Minister Benjamin Netanyahu advocates for the dismantlement of UNRWA and its replacement due to claims that the agency contributes to anti-Israel sentiment and extends the Palestinian refugee problem. Meanwhile, other Israeli officials have expressed their concern regarding the potential adverse economic effects on a significant portion of the Palestinian workforce should UNRWA cease operations amidst conflict.

Looking ahead:

With the European Union maintaining its support for now, the future of UNRWA’s funding hangs in the balance as the wider international community and investigation results will play a decisive role in the direction of financial aid for Palestinian refugee support.

This story was first published on timesofisrael.com.