European Union foreign policy and security representative Kaja Kallas recently revealed a dramatic move: by 2027, the organization will fund the Palestinian Authority (PA) with 1.6 billion euros. The goal is to help the Palestinian Authority achieve budgetary balance. This stems from a memorandum of understanding between Brussels and Ramallah in summer 2024. One of its central provisions was to stop incitement in the Palestinian education system. However, almost a year later, no change has occurred in the learning materials.
The PA, which seeks to present a new face these days, continues to promote antisemitic narratives and support terrorism against Israel in schools. And in the European Union? They're proceeding sluggishly, focusing on the economic and administrative reforms the PA committed to.
The memorandum was born from a financial crisis in the PA. Its main provisions established that Ramallah would implement reforms, and in return, the EU transferred 400 million euros to Ramallah's emptying coffers. Most reforms addressed internal matters: "government modernization," "fighting corruption," "promoting rule of law and transparency," and reforms in economic and welfare systems.

Some policies also concerned Israel, such as preparing a plan for the education system reform. Additionally, in February, Mahmoud Abbas announced the cancellation of clauses in the payment system to terrorists' families – prisoners and deceased.
Nevertheless, "comprehensive financial assistance" was decided upon, allowing continued support through other means. Furthermore, at a Fatah conference held about two weeks after the amendment, Abbas emphasized, "I told you before, even if we have just one penny left, it's designated for prisoners and martyrs. We will never allow giving up any commitment." In Ramallah, they clarify that one of the main considerations in the amendment was to renew international aid programs that were frozen.
Official sources in Israel and the European Union confirmed that amendments related to Israel were a significant part of the memorandum. In Jerusalem, it was described as a "precedent-setting step." Senior officials in the organization are well aware of the situation. Foreign Minister Gideon Sa'ar even updated them about the continued support for terrorists during his last visit to Brussels.
These aren't just declarations. Here's just one example from two IMPACT-SE Institute studies published in March and April. In 9th grade, students learn in social studies that "resistance" and "armed resistance" constitute a natural and legitimate right supported by international law.
Israel is presented as a colonial regime, and UN resolutions are distortedly quoted to claim nations have a right to "armed struggle" to liberate themselves from it. The lesson presents examples of "armed resistance" and "peaceful/non-violent resistance," both typically in the Israeli-Palestinian context, with a very broad and forgiving definition of the term "peaceful."
The 1929 riots, during which 133 Jews were murdered, are presented as an example of "such resistance." So is the First Intifada and the Munich Olympics massacre? According to the booklet, it's "legitimate resistance." The research institute emphasizes that all examples present content currently taught to Palestinians.

IMPACT-SE CEO Marcus Sheff told Israel Hayom that "the Palestinian Authority signed an agreement with the European Union to implement curriculum reform, but instead we again see that it deeply imbues hatred and violence in the curriculum and continues brazenly teaching content of antisemitism, glorification of terrorism, and dehumanization of Israelis. Palestinian classrooms remain breeding grounds for extremism, with new learning materials reinforcing the same old dangerous narratives."
Indeed, this is a policy dictated from above. Last week, the Palestinian Central Council convened in Ramallah and renewed the position of PA Deputy Chairman. The concluding statement of that meeting emphasized, "Peaceful/non-violent popular resistance is the best way to achieve our national goals."
A European Union source who spoke with Israel Hayom said, "Genuine attempts are being made by the European Union to get the Palestinian Authority to change the inciting content in Palestinian educational frameworks and also to change the payment mechanism to people convicted of terrorism or to terrorists' families, but it takes time. The Palestinians were informed that there's an obligation to advance reforms related to the education system for their relations with Israel to improve."
"They and we need Israel to lead to a better situation between the Palestinian people and Israel, and financial support from the Union and Arab countries isn't enough. The Palestinian Authority was informed that without advancing and implementing general reforms and those related to Israel, they won't receive the full grants they're supposed to receive from the Union."
In the principles document signed between the PA and the Union, whose content is shared here for the first time, the PA commits to "preparing a plan for education reform, including curriculum modernization" and to "curriculum reform." Most reforms concern internal matters, while Israel is mentioned only in the context of "improving relations between Israel and the Palestinian Authority, including ongoing payments of tax money due to the Authority and removing access restrictions on Palestinian workers." Nevertheless, at the signing, the European Union decided to transfer the payment in three installments, subject to progress in reforms.
In July 2024, the document stated, "After signing this letter, an initial payment of the three will be made. By the end of August, the Palestinian Authority commits to demonstrating substantial progress regarding the actions detailed in the appendix. The parties aspire to agree on reforms within the program and set milestones for the next two installments and half a year forward, which will lead to the second payment. After the full program is agreed upon by the parties, the third payment will be transferred in September. Additional periodic installment payments within the framework of the long-term balance program for the Authority will be paid thereafter based on the progress made."
Now the Union says that in fact, the prioritization of reforms in the PA focuses first on aspects unrelated to Israel, but rather on Palestinians' ability to maintain proper governance. A European Union spokesperson told Israel Hayom that "on April 14, 2025, the European Union presented a comprehensive multi-year support plan worth up to 1.6 billion euros (1.8 billion USD) for the Palestinian Authority, including grants and loans."

"On one hand, the plan addresses Palestine's most urgent needs, builds institutional capabilities, and supports the implementation of the Palestinian reform agenda; on the other hand, it promotes Palestinian recovery and resilience. The plan prepared for 2025-2027 was built around three central principles: supporting the Palestinian Authority, promoting an integrated program for recovery and stabilization in the West Bank, and, if conditions allow, stabilization also in Gaza, and supporting the Palestinian private sector."
According to the Union spokesperson, "Most funds granted to the first tier of the comprehensive plan will be linked to the Palestinian Authority's progress in key reforms related to fiscal sustainability, democratic governance, private sector development, public services and infrastructure, contributing to building a sustainable state in the Palestinian territories. No funding has yet been transferred for this aspect."
"The European Union is expected to proceed with an initial payment tentatively in June 2025. The reform agenda contains clear implementation benchmarks, reform indicators and milestones, and a strong monitoring and evaluation framework. The program includes regular reports tracking progress in implementing reforms, audits, and assessments to ensure accountability and transparency."
Referring to the discussed reform in the Palestinian education system, the spokesperson says it is "also part of the action plan developed by the Palestinian Authority, and as a result, it will also be addressed as part of the European Union's multi-year program. In this context, the Palestinian Authority has committed to implementing substantial and credible reforms, including curriculum reform in the Palestinian education system. The Palestinian Authority is committed to implementing comprehensive curriculum reform to ensure full compliance of all educational materials with UNESCO standards according to values of peace, tolerance, coexistence, and non-violence."