Ramallah – Prime Minister’s Office – As part of the government's initiative for empowerment, economic recovery, and job creation, and with the participation of Prime Minister Dr. Mohammad Mustafa, the Ministry of Local Government signed, at the Prime Minister's Office in Ramallah, an additional emergency funding agreement for the fourth phase of the Municipal Development Program (MDP4) with the World Bank and the French Development Agency.

The value of the emergency funding amounts to approximately US$33 million, allocated as follows: $15 million from the World Bank to support municipalities in the West Bank, $7 million from the World Bank Palestinian Partnership for Infrastructure Development Multi-Donor Trust Fund (PID MDTF), to support municipalities in the West Bank, and €10 million from the French Development Agency to support municipalities in both the West Bank and Gaza Strip.

This emergency funding aims to support local governments in addressing the economic repercussions of the Israeli war on Gaza and the Israeli measures in the West Bank, including high unemployment rates and the sharp decline in revenues. It will enable them to continue providing essential services to local communities, create temporary job opportunities, and stimulate economic activity through operation and maintenance projects, thereby improving the living conditions of the targeted groups.

Minister of Local Government Sami Hajjawi said that the agreements signed will help municipalities perform their duties and provide services to the Palestinian people, in addition to creating job opportunities and employment programs for those unemployed. This is very important and aligns with the government's key strategies. He further pointed out that this will be implemented as soon as possible, expressing profound appreciation for the French government and the World Bank for their continuous support to the Palestinian government, particularly in the development and local government sectors.

“This grant will be distributed fairly among municipalities and local councils, ensuring that everyone benefits. The Municipal Development and Lending Fund, which will manage the disbursement of this grant, has a plan to distribute it fairly to all, and it will have a positive impact on the living conditions of the Palestinian People in the near future,” Hajjawi added.

On his turn, Denis Jordy, World Bank Acting Country Director for West Bank and Gaza, emphasized the importance of this grant in supporting municipalities and sustain the provision of their services to citizens and provide employment opportunities to those unemployed, highlighting the significance of the local government sector within the recovery and development agenda.

Nicolas Kassianides, French Consul General in Jerusalem said, on his turn, that a total of 163 local governments in the West Bank and Gaza Strip, serving one million citizens will benefit from the agreement. It will also enable the municipalities to provide essential services, including the development of water networks, roads, and waste disposal. This reaffirms France's commitment to supporting the Palestinian people and the Palestinian Authority, especially amid the current difficult conditions.