Between 1999 and 2008, external aid to the West Bank and Gaza Strip increased by over 600% to 3.25 billion US Dollars per year. During the same time period, external aid to Palestinian Nongovernmental Organizations (PNGOs) increased by over 500% from 48 million US Dollars in 1999 to 257 million in 2008. Throughout this period the level of external aid received by PNGOs fluctuated, however, it averaged around 10% over the 10 year period.
According to our findings, not only the amount, but also the type of external aid entering the WB&GS varied according to political conditions. During times of political upheaval, we identified shifts in the destination of external aid, usually moving away from development or the Palestinian Authority and towards emergency relief programs, as well as a shift in the conduits of external aid, away from bilateral donors and towards multilateral agencies. According to our findings, PNGOs are engaged in development activities on a nearly 2:1 basis to Relief, changing only slightly during the Intifada. Whereas we had expected a higher percentage of PNGO activities during the Second Intifada, we learned that much of the external aid to the Occupied Palestinian Territories during this period was channeled through International Nongovernmental Organizations (INGOs) and multilateral agencies engaged in direct implementation.