Updated January 24, 2024
The Palestinians: Overview, Aid, and U.S. Policy Issues
The Palestinians are an Arab people whose origins are in
The U.N. Relief and Works Agency for Palestine Refugees
present-day Israel, the West Bank, and the Gaza Strip. The
in the Near East (UNRWA)—funded mostly by voluntary
October 7, 2023 attacks on Israel—led by the Iran-backed
contributions from the United States and other countries—
Sunni Islamist group Hamas (a U.S.-designated foreign
is mandated by the U.N. General Assembly to provide
terrorist organization)—and subsequent conflict in Gaza
protection and essential services to these registered
have raised new challenges for U.S. policy in the region.
Palestinian refugees, including health care, education, and
Palestinian issues that had arguably faded as a priority since
housing assistance.
the 2010s for the United States and many Arab states have
returned to the forefront. Post-conflict governance in Gaza
is one crucial question, along with potentially interrelated
developments regarding political outcomes in the West
Bank, the status of Jerusalem, risks of a broader regional
war with Iran and its allies, and Israel’s efforts to improve
its security and relations with Arab states.
Successive U.S. Presidents and Congresses have helped
shape Palestinian issues, including through humanitarian,
economic, and non-lethal security assistance for
Palestinians. Since the mid-1990s, U.S. officials have
sought to actively facilitate a negotiated Israeli-Palestinian
peace. Most U.S. administrations since the early 2000s have
voiced support for an eventual independent Palestinian state
in the West Bank and Gaza, with a capital in East Jerusalem
(and President Trump’s 2020 plan arguably allowed for a
variation on the idea).
The ongoing conflict has resulted in more than 1,200 Israeli

and 25,000 Palestinian casualties, with some 130 hostages
Source: Economist Intel igence Unit.
reportedly held (as of late January 2024) by Hamas or other
Note: West Bank and Gaza Strip borders remain subject to Israeli-
militants in Gaza. As Israel seeks to recover hostages and
Palestinian negotiation.
eliminate Hamas’s military and governing capabilities, life
Palestinian domestic politics are dominated by two factions.
has been upended for Gaza’s citizens—with around 75%
Fatah, a secular Arab nationalist faction, is the driving force
displaced, and most facing threats from the fighting,
within the Palestine Liberation Organization (PLO), which
overcrowding in southern Gaza, and acute shortages of
represents Palestinians internationally. Hamas has not
food, water, and medical care. While U.S. officials have
accepted PLO recognition of Israel and constitutes the main
supported Israel’s operations against Hamas, they have
opposition to Fatah. The United States and other Western
urged Israel to minimize threats to civilians and increase
countries have generally sought to bolster the Fatah-led PA
humanitarian access.
vis-à-vis Hamas and support PA-Israel cooperation. The
Beyond the immediate crisis, questions surround when and
economy in the West Bank faces challenges related to
how the conflict might end or abate and who will control
unrest and violence, as well as considerable Israeli
security and governance. U.S. officials support the idea of a
movement, access, and land use restrictions.
revamped Palestinian Authority (PA)—which currently
Timeline of Key Events Since 1993
exercises limited self-rule in the West Bank—returning to
1993-1995
Israel-PLO mutual recognition, and their
power in Gaza, despite public opposition from Israeli
establishment of the PA with limited self-rule
officials and PA insistence that any return be linked with
(subject to overall Israeli control) in the Gaza
progress toward a two-state solution. Hamas forcibly seized
Strip and specified areas of the West Bank.
Gaza from the PA in 2007.
Overview: Population, Politics, and Economy
2000-2005
Second Palestinian intifada affects prospects
for Israeli-Palestinian peace, leads to
About 3.2 million Palestinians live in the West Bank, plus
tightened Israeli security in the West Bank,
an estimated 2.1 million in Gaza. Around 98% are Sunni
and complicates the U.S. third-party role.
Muslim, with a small Christian minority. Another estimated
1.9 million Palestinians live in Israel as citizens. Of the
2004-2005
PLO Chairman/PA President Yasser Arafat
Palestinians living in the Middle East, about 5.9 million are
dies; Mahmoud Abbas succeeds him.
registered refugees (in the West Bank, Gaza, Jordan,
2005
Israel unilateral y disengages from Gaza, but
Lebanon, and Syria) whose claims to land in present-day
remains in control of airspace and
Israel constitute a major issue of Israeli-Palestinian dispute.
land/maritime access points.
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The Palestinians: Overview, Aid, and U.S. Policy Issues
2006
Hamas wins majority in Palestinian Legislative
under civilian areas—that apparently pose major challenges
Council and leads new PA cabinet; Israel,
to dislodging it. In the previous conflicts and the present
United States, and European Union confine
one, Hamas and other Gaza-based militants launched
relations to PA President Mahmoud Abbas.
rockets indiscriminately toward Israel, and Israeli military
2007
West Bank-Gaza split: Hamas seizes control
strikes largely decimated Gaza’s infrastructure. Before
of Gaza Strip; Abbas reorganizes PA cabinet
October 2023, with key actors unsure of how to allow
to lead West Bank; Israel and Egypt establish
assistance for Gazans without bolstering Hamas’s
tight controls on goods and people transiting
capabilities, Israel permitted Qatar to provide certain types
Gaza; this remains the status quo to date.
of funding to Gaza. Some observers have asserted that
2007-present
Various rounds of U.S.-brokered Israeli-
Israeli officials accepted the status quo with Hamas ruling
Palestinian peace negotiations (the last in
Gaza, partly to avoid Israeli-Palestinian peace negotiations.
2013-2014) end unsuccessful y; PLO/PA
U.S. Policy Issues and Aid
increases efforts to gain membership in or
Biden Administration officials publicly support a pathway
support from international organizations.
toward a two-state solution, and oppose unilateral Israeli or
2017-2021
The Trump Administration recognizes
Palestinian actions that incite violence or could obstruct
Jerusalem as Israel’s capital (without
peace efforts—including Israeli settlement building and
specifying the boundaries of Israeli
Palestinian initiatives in international fora. Regarding U.S.
sovereignty). External aid (including from
bilateral aid (see Figure 1), via the Taylor Force Act (Div.
Arab Gulf states) to the PA significantly
S, Title X of P.L. 115-141) Congress has prohibited most
Economic Support Fund (ESF) aid directly benefitting the
declines, exacerbating its economic problems. PA unless the PLO/PA were to curtail domestically popular
2022-present
Another round of Israel-West Bank violence
payments that arguably incentivize acts of terror.
is accompanied by rising (and partly Iran-
Figure 1. U.S. Bilateral Aid to the Palestinians
backed) Palestinian militancy, Jewish ultra-
nationalist influence in the Israeli government,
and Israeli settler attacks on Palestinians.
2023-present
Hamas-led surprise attacks in October 2023
trigger Israeli counteroffensive.
PLO/PA Leadership and Succession
Since the Hamas victory in 2006 PA legislative elections,
the PA has ruled by presidential decree, and has drawn
some international criticism for alleged violations of the

rule of law and civil liberties. Given the West Bank-Gaza
Source: U.S. Department of State.
split in 2007, it is unclear if elections will take place again.
Notes: NADR=Nonproliferation, Antiterrorism, Demining and
Amid Israel-Hamas conflict, PA President Mahmoud
Related Programs; INCLE=International Narcotics Control and Law
Abbas has not endorsed Hamas, but has refrained from
Enforcement; ESF=Economic Support Fund; OCO=Overseas
publicly condemning it. Polls show a spike in West Bank
Contingency Operations.
Palestinian support for Hamas that may stem from Hamas’s
In response to the October 2023 outbreak of conflict,
military actions, prisoner releases it has secured, and
President Biden requested over $9 billion in supplemental
civilian suffering in Gaza.
global humanitarian funding, which could be partly
Abbas’s age (b. 1935) has contributed to speculation about
allocated for civilian needs in Gaza and the West Bank.
leadership succession in the PLO and PA. Top advisers
Some in Congress support more humanitarian assistance for
Hussein al Sheikh (on political affairs) and Majid Faraj
Palestinians; some others call for a halt to or conditions on
(on security) have major profiles internationally, but limited
such aid, citing risks of its possible diversion to Hamas.
domestic popular support. Marwan Barghouti attracts
The U.S. proposal to have a revamped PA extend its rule
significant popular support; he has been imprisoned by
into Gaza faces various challenges, including:
Israel since 2002. Muhammad Dahlan, who was expelled
• Hamas’s deep roots and
from Fatah in 2011, was a former PA security chief in Gaza
longstanding presence in Gaza.
•
and enjoys support from some Arab states.
Israeli officials’ potential entrenchment of forces in
Hamas and Gaza
Gaza and skepticism regarding a future Palestinian state.
•
Hamas has controlled Gaza through its security forces and
PA reluctance to accept leadership change and reform,
obtained resources from smuggling, informal “taxes,” and
and broad Arab insistence on prioritizing international
reported external assistance from Iran and private entities
efforts toward a two-state solution.
•
operating from some other regional countries. Yahya
Israeli actions since October 2023 that have arguably
Sinwar has been Hamas’s leader for Gaza since 2017, and
threatened West Bank stability—including via Israeli
was a driving force behind the October 2023 attacks in
settler violence against Palestinians and a reduction in
Israel. Hamas also maintains a presence in the West Bank.
PA revenues. The Administration has imposed visa bans
Qatar-based Ismail Haniyeh is the leader of the political
on some extremist Israeli settlers, and has called on
bureau that conducts Hamas’s worldwide dealings.
Israel to stop withholding taxes it collects for the PA.
Before the ongoing conflict, Hamas engaged in major
Jim Zanotti, Specialist in Middle Eastern Affairs
escalations with Israel in 2008-2009, 2012, 2014, and 2021.
Hamas also constructed a vast network of tunnels—some
IF10644
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The Palestinians: Overview, Aid, and U.S. Policy Issues


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https://crsreports.congress.gov | IF10644 · VERSION 23 · UPDATED

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