Finland provides EUR 7 million for Gaza reconstruction and medical care in Palestine

Finland is providing EUR 4 million to the UN Horizon Fund for the early recovery and reconstruction of Gaza and EUR 3 million for the development of Palestinian hospitals in East Jerusalem through the PEGASE financing mechanism managed by the EU.

 

The Horizon Fund supports the implementation of UN Security Council Resolution 2803 and the Comprehensive Plan to End the Gaza Conflict (the Gaza Peace Plan). Joint UN projects under the fund will help restore public services, create jobs and facilitate broader commercial investment in Gaza. The fund promotes the transition from humanitarian response towards more permanent solutions, reconstruction and peace.

By participating in the fund, Finland contributes to the promotion of international law, including humanitarian law, the rules-based international system, good governance, peacebuilding, gender equality, Palestinian ownership and the fundamental rights of Palestinians.

“The Horizon Fund creates opportunities for a large-scale reconstruction of Gaza. It can address the immense needs of the people of Gaza across sectors such as education, housing and healthcare, while also helping to restore jobs. Participation in the fund may also open up opportunities for Finnish actors to take part in the reconstruction of Gaza at a later stage,” says Minister for Foreign Trade and Development Ville Tavio.

In addition, Finland is providing EUR 3 million through the EU’s PEGASE budget support instrument to the Palestinian Authority for healthcare in East Jerusalem. The EU’s budget support promotes the implementation of a comprehensive reform programme and helps maintain basic public services, such as education and healthcare. Finland will allocate the funds for 2027–2029 to hospitals and specialised healthcare in East Jerusalem. PEGASE is a long-term mechanism that has already enabled approximately 20,000 Palestinians each year to access specialised medical care, such as cancer treatment and dialysis, in East Jerusalem hospitals.

“Channelling aid to East Jerusalem hospitals will help ensure that Palestinians have access to urgent medical care when needed. Supporting the hospital network is important for maintaining the functioning of institutions and the healthcare system as a whole,” Minister Tavio says.

Participation in the PEGASE funding mechanism is outlined in Finland’s Country Programme for Development Cooperation in Palestine for 2025–2028. The UN Horizon Fund is a new recipient of Finnish funding, but support for the fund will be provided from the Ministry for Foreign Affairs’ existing budget.