US considers $500 million for controversial Gaza aid foundation: Sources

The US State Department is weighing a proposal to allocate USD 500 million to the US-backed Gaza Humanitarian Foundation (GHF), according to two informed sources and two former US officials familiar with the discussions cited by Reuters.

The funding would come through the US Agency for International Development (USAID), which is currently being integrated into the State Department, the sources said. All four individuals spoke on condition of anonymity due to the sensitivity of the matter.

If approved, the move would significantly deepen US involvement in a controversial aid operation that has faced criticism over its ability to operate effectively and safely in Gaza, according to Reuters. 

The proposal has sparked pushback from some within the US government, with concerns focused on the GHF’s alleged lack of neutrality and recent incidents of violence near aid distribution points, including fatal shootings of Palestinians, according to the sources.

The Gaza Humanitarian Foundation began its first aid deliveries last week, following an 11-week 'Israeli' blockade that was partially lifted on May 19. The United Nations and other humanitarian organizations have warned that most of Gaza’s 2.3 million residents remain at risk of famine. Some international relief agencies have publicly criticized the GHF, accusing it of bypassing established humanitarian norms and lacking transparency in its operations.

The State Department and USAID declined to comment on the potential funding or the status of the GHF.