Germany said on Wednesday it plans to resume cooperation with the UN Agency for Palestinian Refugees (UNRWA), signaling a resumption of funding that was frozen after Israel accused 12 UNRWA staff of participating in the Hamas-led October 7 attack.

The allegations prompted 16 donor states, including the biggest, the United States, to freeze some $450 million of funds, a blow to UNRWA's operations as it grapples with the humanitarian crisis unleashed by Israel's assault on Gaza.

Germany's move, UNRWA's second-biggest donor, followed the publication on Monday of a review by former French Foreign Minister Catherine Colonna into UNRWA's procedures for ensuring adherence to humanitarian principles of neutrality.

Palestinian employees of United Nations Relief and Works Agency (UNRWA) take part in a protest against job cuts by UNRWA, in Gaza City September 19, 2018.
Palestinian employees of United Nations Relief and Works Agency (UNRWA) take part in a protest against job cuts by UNRWA, in Gaza City September 19, 2018. (credit: REUTERS/IBRAHEEM ABU MUSTAFA)

Germany publishes official statement

In a statement, the German foreign and development ministries urged UNRWA to swiftly implement the report's recommendations, including strengthening its internal audit function and improving external oversight of project management.

"In support of these reforms, the German government will soon continue its cooperation with UNRWA in Gaza, as Australia, Canada, Sweden, and Japan, among others, have already done," the statement said.