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EU and International Partners Pledge $1 Billion to Rebuild Gaza

“Team Gaza Initiative” will target water, health care, energy, agriculture, and damaged infrastructure, but questions remain over safeguards against Hamas diversion

by Emmitt Barry, Worthy News Washington D.C. Bureau Chief

BRUSSELS (Worthy News) – The European Union and more than a dozen international partners have pledged approximately $1 billion to support the reconstruction and early recovery of the Gaza Strip, European officials announced Monday.

The new program, known as the Team Gaza Initiative, was unveiled during the second meeting of the Palestine Donor Group in Brussels. The gathering was hosted by the European Commission and co-chaired by European Commissioner for the Mediterranean Dubravka Šuica and Palestinian Authority Prime Minister Mohammad Mustafa.

The initiative has secured roughly €884 million, equivalent to about $1 billion, for projects intended to restore water and sanitation systems, rebuild critical infrastructure, revive agriculture, increase energy supplies, strengthen health services, and remove debris left by years of war.

Funding partners include Spain, Denmark, Britain, Germany, Norway, Finland, Italy, the Netherlands, France, Japan, Switzerland, Sweden, Belgium, the European Commission, the European Investment Bank, and the World Bank. Australia and Canada are also expected to participate.

“The EU is the most reliable and credible partner for the Palestinian people,” EU foreign policy chief Kaja Kallas said. “We are the largest donor and the strongest supporter of a two-state solution.”

Kallas said the eventual creation of a Palestinian state must be led by the Palestinian people but would require sustained international support.

The European Union’s continued promotion of a two-state solution also stands at odds with prevailing Israeli public opinion.

A June 2026 survey found that 63% of Israelis opposed establishing a Palestinian state, with opposition rising to 66% among Israelis under age 44. Earlier polling by the Pew Research Center likewise found that only 21% of Israeli adults believed Israel and an independent Palestinian state could coexist peacefully—the lowest level recorded since Pew began asking the question in 2013.

The collapse in support reflects deep security concerns following Hamas’ October 7 massacre and widespread skepticism that a Palestinian state would bring peace rather than create another base for terrorism along Israel’s borders.

Oversight Questions Remain

The European Commission said funding would be distributed through trusted international partners but did not publicly detail the oversight mechanisms that will be used to prevent money, materials, or reconstructed facilities from being diverted by Hamas.

The unresolved issue is especially significant because Hamas continues to exercise influence and de facto authority across portions of Gaza while refusing international demands to disarm. European leaders have said Gaza’s long-term reconstruction must be accompanied by the permanent disarmament of Hamas and other armed groups.

The estimated cost of rebuilding Gaza is far greater than the initial European pledge. International assessments have placed the total reconstruction requirement near $70 billion, with tens of millions of tons of rubble still awaiting removal.

U.N. Condemns Interference With Humanitarian Operations

The European announcement came one day after a senior United Nations official publicly condemned interference with humanitarian operations by Gaza’s “de facto authorities,” terminology commonly used by the international body when referring to Hamas.

Ramiz Alakbarov, the U.N. humanitarian coordinator for the Palestinian territories and deputy special coordinator for the Middle East peace process, said the obstruction endangered humanitarian personnel, intimidated workers delivering food, and disrupted lifesaving operations.

The unusually direct criticism underscored the central challenge confronting international donors: rebuilding civilian life in Gaza while preventing Hamas from exploiting humanitarian aid, infrastructure projects, and outside financing to reestablish its military and political control.

European officials have not announced when the first Team Gaza projects will begin or how quickly the pledged funds will be released.

Copyright 1999-2026 Worthy News. This article was originally published on Worthy News and was reproduced with permission.