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EU and partners launch $1 billion scheme to help Gaza recover from war

By Thomson Reuters Jul 13, 2026 | 5:40 AM

BRUSSELS, July 13 (Reuters) – The European Commission and more than a dozen countries launched an initiative on Monday to deliver €883.6 million ($1 billion) in aid projects to ​help Gaza recover from war.

The small coastal enclave remains ‌in ruins more than 2-1/2 years after the conflict was triggered by the October 2023 attack on Israel by Palestinian militant group Hamas. A fragile ceasefire has been in place since last October, and ‌the ​United Nations has estimated the cost of ⁠rebuilding work in Gaza ⁠at around $70 billion.

The “Team Gaza Initiative”, launched at a meeting of aid donors in Brussels, will support projects such as restoring water and sanitation, removing debris and re-establishing health ​systems, the Commission said in a statement.

Spain, Denmark, Britain, Germany, Norway, Finland, Italy, the Netherlands, France, Japan, Switzerland, Sweden ⁠and Belgium, the World Bank and ⁠the European Investment Bank are taking part in ​the initiative, along with the Commission itself, the statement said. ​Australia and Canada are also expected to join.

“Our objective ‌is clear: to help build hope, resilience and a better future for the Palestinian people,” said Dubravka Suica, the European Commissioner for the Mediterranean.

The European Commission did not provide a ⁠breakdown of how much each partner would contribute to the new initiative.

Israel’s devastating aerial and ground bombardment of Gaza displaced nearly the ⁠entire population of ‌2 million people, most of whom now ⁠live in tents or damaged buildings in ​a greatly ‌reduced coastal strip of territory governed by ​Hamas.

Israeli troops ⁠control nearly 70% of Gaza, patrolling what Prime Minister Benjamin Netanyahu describes as a buffer zone to deter Hamas attacks. Netanyahu says Israel will not withdraw from the territory.

($1 = 0.8747 euros)

(Reporting by Bart Meijer and Andrew Gray; editing by Philip Blenkinsop ​and Hugh Lawson)