Question Period Note: Canada's Temporary Suspension of Funding to UNRWA (United Nations Relief and Works Agency for Palestine Refugees in the Near East)

On January 26, Canada announced a temporary pause in additional funding to UNRWA, following allegations from Israel that 12 UNRWA employees had participated in the October 7th Hamas attacks on Israel

• Canada is deeply concerned by allegations made against UNRWA staff members and along with UNRWA itself, takes them very seriously.
• We announced on January 26 a temporary pause in additional funding, and we are currently working with the UN, UNRWA and other donors to develop a pathway that could allow for the resumption of funding. We are also closely engaging with Israel on this matter.
• The ongoing UN investigation will shed light on the allegations, and will also help to prevent future allegations or breaches of neutrality, as the case may be.
• We understand the crucial importance of UNRWA's operations in Gaza for meeting the needs of over 2 two million people through vital life-saving assistance.
• Canada welcomes the recent launching of an independent third-party review of UNRWA's adherence to neutrality principles. We appreciate the direct engagement of the UN Secretary General and the leadership of former French Foreign Minister Colonna.

The Issue:
Canada and at least 15 other donors have paused additional funding to UNRWA following allegations that 12 Agency employees were involved in the Oct. 7 attacks.
The list of suspenders includes: Australia, Austria, Canada, Estonia,
Finland, Germany, Italy, Iceland, Japan, Latvia, Lithuania, Netherlands, Romania, Sweden, UK, and the US.
Meanwhile, the EU, Norway, France, Spain, Portugal have maintained their contributions to the Agency.
UNRWA estimates the impacts of the suspensions amounts to roughly $890 million, or approximately 70% of it's overall annual income (based on 2023 donor contributions).
UNRWA is an indispensable platform for humanitarian assistance in Gaza given its footprint - both in logistics and staff (over 13,000).
Numerous domestic and international stakeholders have alleged that the pause decision represents collective punishment for Palestinian refugees due to the actions of a small minority of UNRWA employees.

Canada's Response:
Global Affairs Canada is working closely with UNRWA and donors to support actions that could restore the credibility of the organization and allow for donor resumption. Such measures include the UN led investigation into the serious allegations, process and operational changes within UNRWA (including rescreening of employees against existing terror lists and strengthening of internal control mechanisms), and an independent third-party review of UNRWA's approach, safeguards and corrective measures relating to neutrality issues.

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