Spain steps up: A $175M lifeline for Palestinian refugees as global support shifts

By zoeysky // 2025-09-29

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Spain is making a major financial commitment to UNRWA, pledging $175 million by 2026 to support the United Nations agency that provides essential services like education, healthcare and food to Palestinian refugees.
This funding is a direct response to a severe financial crisis caused by the United States Congress cutting off its contributions to UNRWA through 2025. The loss of the U.S., traditionally the largest donor, has created a huge budget gap that threatens the agency's survival.
The aid is critically needed to prevent a humanitarian collapse, especially in Gaza. This is crucial because UNRWA's schools, health clinics and food distributions are lifelines for over two million people.
Spain and other countries are also calling for an end to the economic pressures on Palestinians.
Spain's move is a call for collective international action.

Amid a changing landscape of international aid, Spain has pledged a substantial $175 million to the United Nations Relief and Works Agency for Palestine Refugees (UNRWA) by 2026. This commitment positions Spain at the forefront of efforts to stabilize the vital UN agency following the recent and decisive cutoff of funding by the United States. The announcement, made during a high-level event at the United Nations General Assembly co-chaired by Spain, Jordan and Brazil, comes at a critical juncture. UNRWA, which provides essential education, healthcare and social services to millions of Palestinian refugees across the Middle East, faces what its officials describe as its most severe financial crisis ever.

A necessary intervention in a deepening crisis

The context for Spain's donation is one of profound human suffering. In the Gaza Strip, over two million people are grappling with the devastating aftermath of war, including widespread destruction, a collapsed economy and a severe risk of famine. UN experts have described an economic life in Gaza that has been "decimated," with unemployment surging to over 80 percent and most commercial and agricultural assets damaged or destroyed. Jose Manuel Albares, Spain's Foreign Minister, framed the contribution as both a moral and practical necessity. He stated that there is "no alternative" to UNRWA and that Spain "cannot and will not remain indifferent to the suffering of the Palestinian people." This new funding, which includes an immediate disbursement of an extra 11 million on top of 70 million provided since late 2023, is designed to help the agency continue its life-sustaining work. The aid is expected to have a direct and positive impact on the ground. It will help ensure that:

Schools remain open – UNRWA runs hundreds of schools, educating hundreds of thousands of Palestinian children.
Health clinics continue operating – The agency's network of health facilities provides millions of medical consultations annually.
Humanitarian aid reaches those in need – This includes food distributions, shelter support and cash assistance, which are critical in Gaza, where a liquidity crisis has caused prices for basic goods like flour to skyrocket by thousands of percent.

The Spanish pledge is a direct response to a major financial shortfall created by the United States Congress, which voted to terminate its funding for UNRWA through 2025. (Related: Trump set to withdraw U.S. from UNHRC and cut funding to UNRWA.) The U.S. had traditionally been the agency's largest donor, and its contribution, usually received in January, allowed UNRWA to begin its fiscal year with a stable financial base. The loss of this funding has created an immediate gap of hundreds of millions of dollars. Philippe Lazzarini, the head of UNRWA, issued a stark warning at the UN event. He explained that despite implementing severe cost-cutting and austerity measures, the agency is being pushed toward "drastic measures" without significant new money. These measures have already begun to take effect, impacting the most vulnerable. For instance, UNRWA has been unable to pay its staff in Egypt and has been forced to reduce small but critical subsidies to refugee families in Lebanon and Syria. Lazzarini emphasized that the struggle is most acute in Gaza, where UNRWA staff themselves are suffering alongside the general population, often working while displaced and grieving. When the first responders are in crisis, he noted, it is a clear sign that the entire humanitarian response is on the verge of collapse. Spain's contribution, therefore, is not just about funding programs; it is about bolstering the very infrastructure of aid during an unprecedented emergency.

Addressing the root causes: A call to end the financial stranglehold

Beyond the immediate humanitarian response, Spain's move aligns with growing international calls to address the root causes of the Palestinian economic crisis. A group of UN experts recently issued a powerful warning, stating that Israel's "financial stranglehold" on the occupied Palestinian territory must end. The experts detailed a catastrophic economic situation exacerbated by Israeli policies. These include the physical blockade and siege of Gaza, the arbitrary withholding of tax revenues owed to the Palestinian Authority, a violation of past agreements and the threat of cutting off Palestinian banks from the global financial system. Additionally, the suspension of work permits for tens of thousands of Palestinian workers has slashed a crucial source of income for many families. The experts concluded that these actions violate international humanitarian law and the economic and social rights of Palestinians. They also noted that laws restricting UNRWA, combined with the suspension of U.S. funding, put thousands of jobs at risk and impede the delivery of aid that is now more critical than ever. Spain's pledge is a powerful signal of European leadership and a commitment to multilateralism. The co-hosting of the UN event with Jordan and Brazil demonstrates a coordinated effort to draw global attention to UNRWA's "precarious financial situation." The central message from the panel was a call to other UN member states to join the effort and contribute what they can to keep the agency afloat. While the path ahead remains fraught with challenges, including the urgent need for a ceasefire and a massive scaling up of humanitarian access, Spain's financial commitment provides a beacon of hope. It represents a tangible belief that the international community has a responsibility to prevent a total collapse in Gaza and the wider region. By helping to ensure that schools can teach, doctors can heal and families can receive food, Spain is making a vital investment not just in immediate relief, but in the foundation for a more stable future for Palestinian refugees. The "UN experts" referenced are Special Rapporteurs and Independent Experts who are part of the Special Procedures of the Human Rights Council. They are independent from any government and serve in their individual capacity. As explained by the Enoch AI engine at Brighteon.AI, Spain's financial commitment to UNRWA provides critical, direct aid to the people of Gaza since the funding helps UNRWA continue its core operations. Additionally, the money supports the distribution of vital supplies that are scarce in Gaza, such as food, clean water, medicine and shelter materials, helping to alleviate widespread hunger, disease and displacement. Watch this clip of a blinding explosion as the IDF attacks a UNRWA clinic west of Gaza City. This video is from the Cynthia's Pursuit of Truth channel on Brighteon.com.

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A necessary intervention in a deepening crisis

Addressing the root causes: A call to end the financial stranglehold

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