The European Commission (EC) announced Monday that it will launch on Friday, 1 February, a new instrument to channel European Union and international assistance as a contribution to the building of a Palestinian state.Called PEGASE (Palestinian-European Mechanism for Management of Socio-Economic Aid) it is a follow-up to the current Temporary International Mechanism (TIM).
PEGASE will channel support for the 3-year Palestinian Reform and Development Plan which had been presented by Palestinian Prime Minister Salam Fayad at the Paris Donor Conference in December. According to EC sources, assistance under PEGASE will be channeled to the West Bank, Gaza and East Jerusalem.
The European Commission had pledged 440 million euro at the Paris conference for the year 2008 out of which 325 mn euro will go to PEGASE, according to EC sources. The remaining sum of 115 mn euro will be given to UNRWA and other NGOs. "The European Union is strongly committed to support the Palestinian Authoritys reform and development priorities," said EU Commissioner for external relations and European Neighbourhood Policy, Benita Ferrero-Waldner in a statement.