WASHINGTON/RAMALLAH: The United States on Friday halted all funding to a UN agency that helps Palestinian refugees in a decision further heightening tensions between the Palestinian leadership and the Trump administration.
A spokesman for Palestinian President Mahmoud Abbas denounced the decision as āa flagrant assault against the Palestinian people and a defiance of UN resolutions.ā
State Department spokeswoman Heather Nauert said the business model and fiscal practices of the United Nations Relief and Works Agency (UNRWA) made it an āirredeemably flawed operation.ā
āThe administration has carefully reviewed the issue and determined that the United States will not make additional contributions to UNRWA,ā she said in a statement.
Nauert said the agencyās āendlessly and exponentially expanding community of entitled beneficiaries is simply unsustainable and has been in crisis mode for many years.ā
The latest announcement comes a week after the administration said it would redirect $200 million in Palestinian economic support funds for programs in the West Bank and Gaza.
UNRWA spokesman Chris Gunness voiced the agencyās ādeep regret and disappointmentā at the decision, which he said was surprising given that a December US funding agreement had acknowledged UNRWAās successful management.
āWe reject in the strongest possible terms the criticism that UNRWAās schools, health centers, and emergency assistance programs are āirredeemably flawed,āā Gunness added in a series of Twitter posts.
The 68-year-old agency says it provides services to about 5 million Palestinian refugees in Jordan, Lebanon, Syria and the West Bank and Gaza. Most are descendants of people who were driven out of their homes or fled the fighting in the 1948 war that led to Israelās creation.
US President Donald Trump and his aides say they want to improve the Palestiniansā plight, as well as start negotiations on an Israeli-Palestinian peace agreement.
But under Trump, Washington has taken a number of actions that have alienated the Palestinians, including the recognition of Jerusalem as Israelās capital. That move was a reversal of longtime US policy and led the Palestinian leadership to boycott the Washington peace efforts being led by Jared Kushner, Trumpās senior adviser and son-in-law.
The United States paid out $60 million to UNRWA in January, withholding another $65 million, from a promised $365 million for the year.
āNOT PART OF THE SOLUTIONā
āSuch a punishment will not succeed to change the fact that the United States no longer has a role in the region and that it is not a part of the solution,ā Abbas spokesman Nabil Abu Rdainah told Reuters.
He said āneither the United States nor anybody else will be able to dissolveā UNRWA.
In Gaza, the Islamist group Hamas condemned the USmove as a āgrave escalation against the Palestinian people.ā
āThe American decision aims to wipe out the right of return and is a grave USescalation against the Palestinian people,ā said Hamas spokesman Sami Abu Zuhri.
He told Reuters the āUSleadership has become an enemy of our people and of our nation and we will not surrender before such unjust decisions.ā
Earlier on Friday, German Foreign Minister Heiko Maas said Germany would increase its contributions to UNRWA because the funding crisis was fueling uncertainty. āThe loss of this organization could unleash an uncontrollable chain reaction,ā Maas said.
UNRWA has faced a cash crisis since the United States, long its biggest donor, slashed funding earlier this year, saying the agency needed to make unspecified reforms and calling on the Palestinians to renew peace talks with Israel.
The last Palestinian-Israeli peace talks collapsed in 2014, partly because of Israelās opposition to an attempted unity pact between the Fatah and Hamas Palestinian factions and Israeli settlement building on occupied land that Palestinians seek for a state.
Nauert said the United States would intensify talks with the United Nations, the regionās governments and international stakeholders that could involve bilateral US assistance for Palestinian children.
āWe are very mindful of and deeply concerned regarding the impact upon innocent Palestinians, especially school children, of the failure of UNRWA and key members of the regional and international donor community to reform and reset the UNRWA way of doing business,ā she said.
Gunness told Reuters earlier in August that UNRWAās support would be needed as long as the parties failed to reach an agreement to end the crisis.
āUNRWA does not perpetuate the conflict, the conflict perpetuates UNRWA,ā he said. āIt is the failure of the political parties to resolve the refugee situation which perpetuates the continued existence of UNRWA.ā
US halts all funding to UN body helping Palestinians
Updated 01 September 2018
US halts all funding to UN body helping Palestinians

- US State Department: Business model and fiscal practices of UNRWA were an āirredeemably flawed operationā
- US President Donald Trump and his aides say they want to improve the Palestiniansā plight, as well as start negotiations on an Israeli-Palestinian peace agreement