US plans $900 million in aid for Gaza

The United States plans to offer more than $900 million (€703 million) to help rebuild Gaza after Israel's invasion and to strengthen…

The United States plans to offer more than $900 million (€703 million) to help rebuild Gaza after Israel's invasion and to strengthen the Western-backed Palestinian Authority, US officials said today.

The money, which needs US congressional approval, will be distributed through UN and other bodies and not via the militant group Hamas, which rules Gaza, said one official.

"This money is for Gaza and to help strengthen the Palestinian Authority. It is not going to go to Hamas," said the official, who asked not to be named as Secretary of State Hillary Clinton planned to announce the funding at a donors' conference in Egypt next week.

Neither the United States nor Israel have direct contact with the Hamas movement which runs Gaza and remains formally committed to the destruction of the Jewish state.

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The official said the pledge was a mix of money already earmarked for the Palestinians and some new funding.

"The package is still shaping up," he said, when asked for specifics over how the money would be spent and a breakdown of old and new funding.

In December, the former Bush administration said it would give €66 million to the UN agency that provides aid to Palestinian refugees in the West Bank, Gaza, Jordan, Lebanon and Syria.

The March 2nd donors' conference in Egypt's Sharm el-Sheikh resort aims to raise humanitarian and rebuilding funds for Gaza after Israel's invasion last December to suppress rocket fire against its cities.

Preliminary estimates put damage from the offensive, in which 1,300 Palestinians died, at nearly €1.5 billion.

Clinton's bid to get "substantial" funds could face an uphill battle in Congress because Hamas continues to rule Gaza and the US focus is on its own souring economy.

Reuters