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Updated September 9, 2021

The Palestinians: Overview, Aid, and U.S. Policy Issues

The Palestinians and their ongoing disputes and interactions
with Israel raise significant issues for U.S. policy (see U.S.
Policy Issues and Aid below). After a serious rupture in
U.S.-Palestinian relations during the Trump Administration,
the Biden Administration has started reengaging with the
Palestinian people and their leaders, and resuming some
economic development and humanitarian aid-with hopes
of preserving the viability of a negotiated two-state
solution. In the aftermath of the May 2021 conflict
involving Israel and Gaza, U.S. officials have announced
additional aid (also see below) and other efforts to help with
recovery and engage with the West Bank-based Palestinian
Authority (PA), but near-term prospects for diplomatic
progress toward Israeli-Palestinian peace reportedly remain
dim. Palestinian leaders lamented some Arab states'
normalization of relations with Israel near the end of the
Trump Administration because it could undermine past
Arab efforts to link such improvements with addressing
Palestinian negotiating demands.
The Palestinians are an Arab people whose origins are in
present-day Israel, the West Bank, and Gaza. Fatah, an
Arab nationalist faction, is the driving force within the
Palestine Liberation Organization (PLO), which represents
Palestinians internationally. The Sunni Islamist group
Hamas (a U.S.-designated terrorist organization) has not
accepted PLO recognition of Israel and constitutes the main
opposition to Fatah.

Source: Economist Intelligence Unit.
Note: West Bank and Gaza Strip borders remain subject to Israeli-
Palestinian negotiation.
Of the approximately 12.4 million Palestinians worldwide,
about 4.8 million (98% Sunni Muslim, 1% Christian) live in
the West Bank and Gaza. About 1.5 million additional
Palestinians are citizens of Israel, and 6.1 million more live
elsewhere. Of the total Palestinian population, more than 5

million (roughly 44%) are refugees (registered in the West
Bank, Gaza, Jordan, Lebanon, and Syria) whose claims to
land in present-day Israel constitute a major issue of Israeli-
Palestinian dispute. The U.N. Relief and Works Agency for
Palestine Refugees in the Near East (UNRWA) is mandated
by the U.N. General Assembly to provide protection and
essential services to these registered Palestinian refugees,
including health care, education, and housing assistance.
International attention to the Palestinians' situation
increased after Israel's military gained control over the
West Bank and Gaza in the 1967 Arab-Israeli War. Direct
U.S. engagement with Palestinians in the West Bank and
Gaza dates from the establishment of the PA in 1994. For
the past several years, other regional political and security
issues have taken some of the global attention from
Palestinian issues.
Timeline of Key Events Since 1 993
1993-1995       Israel and the PLO mutually recognize each

2000-2005
2004-2005
2005
2006
2007

other and establish the PA, which has limited
self-rule (subject to overall Israeli control) in
the Gaza Strip and specified areas of the
West Bank.
Second Palestinian intifada affects prospects
for Israeli-Palestinian peace, leads to
tightened Israeli security in the West Bank,
and complicates the U.S. third-party role.
PLO Chairman/PA President Yasser Arafat
dies; Mahmoud Abbas succeeds him.
Israel unilaterally disengages from Gaza, but
remains in control of airspace and
land/maritime access points.
Hamas wins majority in Palestinian Legislative
Council and leads new PA cabinet; Israel,
United States, and European Union confine
relations to PA President Abbas.
West Bank-Gaza split: Hamas seizes control
of Gaza Strip; Abbas reorganizes PA cabinet
to lead West Bank; this remains the status
quo to date.

2007-present     Various rounds of U.S.-brokered Israeli-
Palestinian peace negotiations (the last in
2013-2014) end unsuccessfully; PLO/PA
increases efforts to gain membership in or
support from international organizations.

2017-2020

2021

U.S.-Palestinian tensions rise during the
Trump Administration.
Biden Administration resumes aid and takes
additional steps to reengage Palestinians; May
2021 Israel-Gaza conflict and aftermath.

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