Brussels, 9 October 2023 (dpa/MIA) - The European Commission has immediately suspended all development payments for Palestinians following the Hamas attack on Israel, Commissioner Olivér Várhelyi said on Monday.

Aid projects worth €691 million ($728.6 million) are under review, Várhelyi said on X, formerly Twitter.

"The scale of terror and brutality against Israel and its people is a turning point. There can be no business as usual," the commissioner for Neighbourhood and Enlargement wrote.

"The foundations for peace, tolerance and co-existence must now be addressed. Incitement to hatred, violence and glorification of terror have poisoned the minds of too many."

The EU and its member states are the largest donors to the Palestinian population, European Commission President Ursula von der Leyen said previously.

The bloc planned to support the Palestinian people with €1.18 billion for the period 2021 to 2024, a press release said.

Earlier on Monday, a spokeswoman for the European Commission said it was however clear that the EU does not directly or indirectly finance the activities of Hamas or other terrorist organizations.

"The EU has very strict rules in place to screen and vet the beneficiaries of EU funds," she said.

The bloc has supported the Palestinian population as well as the Palestinian authorities, the spokeswoman added.

This included financial contributions for the health sector, social assistance, salaries for civil servants, and projects in areas such as democratic governance, rule of law, water, energy and economic development, according to the commission.

Additionally, the EU has also supported the United Nations Relief and Works Agency for Palestine Refugees in the Near East (UNRWA), she said.

Austria has already announced it is suspending aid to the Palestinian territories and Germany is conducting a review.

EU foreign ministers are expected to discuss the issue at an extraordinary meeting on Tuesday.

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