The European Union has announced a financial aid package of up to 1.6 billion euros ($1.8 billion) to support the Palestinian Authority and fund projects in the West Bank, Jerusalem, and Gaza. Over a third of the money will be provided as direct budget support to improve financial sustainability and democratic governance. The aid aims to build a sustainable future, advance economic recovery, and strengthen the resilience of the private sector. In addition to grants for various sectors, the private sector can also benefit from low-cost loans from the EU.