Trump administration weighs sanctions on UNRWA: Reuters

Officials in the Trump administration have held advanced discussions on imposing terrorism-related sanctions on the United Nations Relief and Works Agency for Palestinian Refugees (UNRWA), according to a Reuters report.

UNRWA operates across Gaza, the West Bank, Lebanon, Jordan, and Syria, delivering essential aid, schooling, healthcare, social services, and shelter to millions of Palestinian refugees.

Top UN officials and the Security Council have described the agency as the backbone of the humanitarian response in Gaza, where a two-year 'Israeli'-inflicted genocide has caused catastrophic devastation.

The Trump administration has accused UNRWA of links to Hamas, allegations the agency has vigorously denied. Washington, historically the largest UNRWA donor, halted funding in January 2024 after 'Israel' accused around a dozen UNRWA staff of involvement in the Hamas' operation on October 7, 2023.

US Secretary of State Marco Rubio further claimed in October that UNRWA had become “a subsidiary of Hamas,” the US-designated terrorist group since 1997.

- Sanctions options under review -

It remains unclear whether the discussions focus on sanctioning the entire organization or only specific staff or parts of UNRWA operations. Possible measures include declaring UNRWA a “foreign terrorist organization” (FTO), a designation that would significantly restrict financial operations. Such a move, however, could destabilize critical refugee relief efforts already facing a funding crisis.

William Deere, director of the UNRWA office in Washington, called any potential FTO designation “both unprecedented and unwarranted.” Deere emphasized that “since January 2024, four independent entities have investigated UNRWA's neutrality including the US National Intelligence Council. All have concluded that UNRWA is an indispensable, neutral, humanitarian actor.”

A State Department official described UNRWA as “a corrupt organization with a proven track record of aiding and abetting terrorists,” adding, “Everything is on the table. No final decisions have yet been made.”

- Legal, diplomatic, and humanitarian concerns -

Sanctioning UNRWA would be a striking move, given that the United States is a member and host country of the United Nations, which created the agency in 1949. Experts warn that a blanket sanction could undermine aid delivery to millions of displaced Palestinians. Dozens of US allies also fund UNRWA, raising questions about potential secondary sanctions for cooperating countries.

Humanitarian and legal concerns have been voiced by career State Department officials and legal advisors, who caution against measures that could cripple UNRWA operations. Discussions are reportedly led by politically-appointed staff, with senior counterterrorism nominee Gregory LoGerfo recusing himself while awaiting Senate confirmation.

- 'Israeli' pressure -

'Israeli' Prime Minister Benjamin Netanyahu has long called for the dismantling of UNRWA, accusing it of inciting anti-'Israeli' sentiment. Since January, 'Israel' has barred UNRWA operations on its territory, including East Jerusalem, and limited contact with 'Israeli' authorities.

More than 370 UNRWA staff have been killed in Gaza during the war.