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Palestinians: EU Aid

Volume 475: debated on Tuesday 6 May 2008

To ask the Secretary of State for International Development what the (a) budget, (b) objectives and (c) mechanisms for disbursement of aid to the Palestinians from the European Union’s PEGASE fund are. (200076)

For 2008 the European Commission has committed €300 million (£238 million) to PEGASE and member states are finalising their individual contributions.

There is no upper ceiling for PEGASE contributions. In March 2008 the UK provided £15.45 million through PEGASE to support public sector salaries.

PEGASE is designed to support the Palestinian Authority's three year Reform and Development programme (PROP). The PRDP will focus upon governance reform and development of the social, economic and public infrastructure sectors.

PEGASE covers the full European Commission programme of support to the Occupied Palestinian Territories, as well as the former Temporary International Mechanism (TIM). PEGASE will widen the scope of the former TIM to cover support for private sector arrears and funding provided directly to the PA. PEGASE will retain comprehensive and secure monitoring and control systems that were put into place under the TIM.