EU unveils $1bn fund for Gaza war recovery | Gaza News
EU Launches $1 Billion Aid Initiative for Gaza Reconstruction
Published: July 13, 2026
BRUSSELS — The European Commission announced a $1 billion aid and reconstruction fund on Monday, aimed at supporting Gaza’s recovery following more than two years of conflict. The initiative, dubbed the “Team Gaza Initiative,” was unveiled during a donor meeting in the Belgian capital.
According to an EU Commission statement, the fund will finance projects focused on restoring essential water and sanitation systems, clearing debris, and rebuilding health infrastructure. However, the allocation falls significantly short of the estimated $71 billion necessary for Gaza’s comprehensive recovery over the next decade.
Participating countries in the initiative include Spain, France, Denmark, the United Kingdom, Germany, Norway, Finland, Italy, the Netherlands, Japan, Switzerland, Sweden, and Belgium, as well as the World Bank and the European Investment Bank. Australia and Canada are also expected to contribute.
EU Commissioner for the Mediterranean, Dubravka Suica, emphasized the urgency of the situation, stating, “We will present the initial package today of almost 900 million euros or one billion dollars. Our objective is clear: to help build hope, resilience, and a better future for the Palestinian people.”
The funding aims to provide basic water and sanitation facilities, clean debris, and restore vital health, energy, agricultural, and food systems. However, no specific breakdown of contributions from each partner was announced. Suica noted that donors are eager to commence with “early recovery” efforts, emphasizing the need for conducive conditions that ensure assistance reaches the people of Gaza.
Despite a U.S.-brokered ceasefire agreement between Israel and Hamas last October, reports indicate that hostilities have persisted. While the fighting’s intensity has diminished, recent statistics show at least 1,100 Palestinians have been killed and over 3,500 wounded since the ceasefire began. The conflict has resulted in a total of approximately 73,000 Palestinian fatalities.
EU Commissioner for Equality, Preparedness, and Crisis Management, Hadja Lahbib, described the humanitarian situation in Gaza as “unbearable,” urging for improved access and political engagement from Israeli authorities. “Nine months after the so-called ceasefire, shelling continues, disease is spreading, and people are dying,” she informed reporters prior to the fund’s announcement.
A report from the European Union and United Nations released in April highlighted that over $71 billion will be needed for Gaza’s recovery and reconstruction in the next decade. The Gaza Rapid Damage and Needs Assessment (RDNA) report detailed that $26.3 billion is required in the initial 18 months to restore essential services, rebuild critical infrastructure, and support Gaza’s economic recovery.
