US cuts all funding for UN's Palestine refugee agency

The U.S. on Friday announced it is cutting all of its funding for the UN's Palestine refugee agency.

State Department spokeswoman Heather Nauert said Washington "will no longer commit further funding" to the United Nations Relief and Works Agency for Palestine Refugees in the Near East (UNRWA).

"The fundamental business model and fiscal practices that have marked UNRWA for years – tied to UNRWA’s endlessly and exponentially expanding community of entitled beneficiaries – is simply unsustainable and has been in crisis mode for many years," she said.

The U.S. was by far UNRWA's largest funder, giving $350 million annually, or about one-quarter of the agency's budget.

The agency is responsible for a number of critical programs for the more than 5 million Palestinians living in the West Bank, Gaza Strip, Jordan, Syria and Lebanon. It provides them with schooling, health services and food security, among other services.

UNRWA earlier this week warned that if Washington went through with its funding cut, it would likely result in greater instability in the region.

“You have to ask yourself the question: what would the Middle East look like if the most vulnerable people in that region were not to be receiving services from a UN humanitarian organization?" agency spokesman Chris Gunness told Anadolu Agency.

"I think the answer is there would be a lot more angry, and hungry, and ill-educated people, and that does not bode well for peace in the Middle East,” he added.

In her statement, Nauert called UNRWA a “deeply flawed” organization, a charge Gunness rejected “in the strongest possible terms” in a series of tweets posted after the announcement.

“These very programs have a proven track record in creating one of the most successful human development processes and results in the Middle East. The international state community, our donors and host countries have consistently praised UNRWA for its achievements and standards,” Gunness said.

“Following today’s announcement, UNRWA will pursue with even greater determination and engagement its mobilization of existing partners - 20 of whom have to date contributed more money than in 2017, including countries from the Gulf, Asia and Europe - and of new ones,” he said.

“This is what UNRWA stands for and as an organ of UN General Assembly we will continue to provide high quality services and assistance to over 5.4 M Palestine refugees.”

Nauert acknowledged the impact Washington's decision would have "upon innocent Palestinians" but placed the blame for the U.S. action with UNRWA.

Referring to school children affected by the decision, she said: "These children are part of the future of the Middle East. Palestinians, wherever they live, deserve better than an endlessly crisis-driven service provision model. They deserve to be able to plan for the future.

"Accordingly, the United States will intensify dialogue with the United Nations, host governments, and international stakeholders about new models and new approaches, which may include direct bilateral assistance from the United States and other partners, that can provide today’s Palestinian children with a more durable and dependable path towards a brighter tomorrow," she said.