The European Union (EU) signed an agreement worth 10 million euros (US$14.4 million) on Friday with the United Nations Relief and Works Agency for Palestine Refugees in the Near East (UNRWA) to aid its education program.

UNRWA Commissioner General, Karen Abu Zayd, and the EU Representative Christian Berger signed the agreement, said a joint statement issued by UNRWA and the EU.

The new fund represents a crucial response to the UNRWA's financial crisis, and will enable it to maintain the current high level of educational activities throughout this school year, according to the statement.

UNRWA's education program provides basic education for refugee children in line with the educational systems of host countries, as well as vocational and semi-professional skills training.

The current financial outlook and chronic budget shortfalls have restricted the UNRWA's ability to maintain its education services.

"It is with great pleasure that I accept this generous donation, which will go towards the program that UNRWA sets as its highest priority and on which we spend more than half of our regular budget," said Abu Zayd.

Abu Zayd also took the opportunity to make a wider appeal to the international community.

"UNRWA must not be made to play a continuing zero sum game," she said, adding that "it is a source of deep regret that I leave office as Commissioner General in just a few days time, with the agency in a financial crisis that is both chronic and acute."

Berger said, "This agreement demonstrates the EU's support and appreciation for UNRWA, until we reach a settlement of the conflict, and a just and agreed upon solution."

"The agreement will help maintain the level of services at the current high standards," he said.

"We have already funded UNRWA with 66 million euros for the General Fund, but we hope that this agreement will contribute partially towards solving the cash flow problem," said Berger.

UNRWA is funded almost entirely by voluntary contributions from UN member states.

The UNRWA's budget for 2010 and 2011 stands at US$1.23 billion. In 2009, emergency appeals for the West Bank and Gaza amounted to US$456.7 million, with an additional US$370.7 million required for Lebanon.

(Xinhua News Agency December 18, 2009)