Norway provides NOK 168 million in budget support to the Palestinian Government

Yesterday Norway signed an agreement with the Palestinian Authority under which it will provide NOK 168.3 million in budget support. The funds are to be used to pay salaries and cover operating expenses in the public sector, including the civilian police. 

“This support is being provided at a point in time when the Palestinian Authority is in great need of external funding. Budget support is essential to enable the Palestinian Authority to pay salaries to public sector employees. If it fails to pay these salaries, it will be unable to provide people with basic services such as health care and education,” said Foreign Minister Jonas Gahr Støre. 

The budget support was pledged by Foreign Minister Støre during the meeting of the Ad Hoc Liaison Committee donor group, which is chaired by Norway, held in New York in September. Prime Minister Fayyad underscored the importance of such support in talks with Mr Støre just last week. 

“It is now important that the international community reconfirm its commitment to the Palestinian people as part of the preparations for the Middle East conference in Annapolis later this month,” Foreign Minister Støre continued. 

“This budget support will play an important role in securing the Palestinian people’s confidence in the Palestinian Authority. This support is also an expression of our faith in the efforts of President Mahmoud Abbas and his government to establish a democratic Palestinian state,” Mr Støre added. 

Norway hopes that the budget support it is providing will encourage other donors to provide substantial funds to the Palestinian Authority during the international donor conference in Paris in December. France, which will be hosting the conference, is working closely together with Foreign Minister Støre and Quartet Special Envoy Tony Blair to mobilise funds for Palestinian state-building.