Canada Reaffirms Commitment to Two-State Solution with New Aid for Gaza, Support for Palestinian Authority Reforms

Canada

New York, The Gulf Observer: While Canada has not joined France in formally recognizing a Palestinian state, it has reaffirmed its long-standing commitment to a two-state solution by pledging increased humanitarian assistance to Gaza and support for institutional reforms within the Palestinian Authority (PA), Foreign Affairs Minister Anita Anand announced on Monday.

Speaking at a high-level United Nations conference in New York co-hosted by France and Saudi Arabia, Minister Anand underscored Canada’s principled support for a peaceful and viable two-state solution, which envisions the creation of an independent Palestinian state living side by side with Israel.

“The Palestinian question is at the heart of any hope for long-term stability in the Middle East,” Anand stated. “A workable Palestinian state needs legitimate, democratic governance that serves all Palestinian people.”

To that end, Canada will provide $10 million in 2025 to accelerate institutional reform and capacity-building within the Palestinian Authority, which currently governs parts of the West Bank. This effort aims to prepare the PA for eventual leadership of a globally recognized Palestinian state that includes both Gaza and the West Bank.

Anand emphasized, however, that Hamas — listed by Canada as a terrorist organization — cannot play any role in the future governance of Palestine. She called for “comprehensive reforms” in the Palestinian Authority, which has faced widespread concerns about governance and transparency. No general elections have been held in either the West Bank or Gaza since 2006.

In addition to governance support, Ottawa announced an additional CAD 30 million in humanitarian funding for civilians in the Gaza Strip, bringing Canada’s total response to the ongoing crisis to over CAD 100 million.

“For this critical aid to reach those in need, humanitarian partners must be granted safe and unhindered access to civilians in Gaza,” Anand stressed, urging Israel to allow greater humanitarian access amid worsening conditions.

The humanitarian situation in Gaza remains dire, with multiple international organizations warning of widespread hunger and starvation. Despite these warnings, Israeli Prime Minister Benjamin Netanyahu has maintained that only a “minimal” amount of aid is necessary and has rejected claims of famine.

Minister Anand also reiterated Canada’s firm positions on key issues driving the conflict. She called for the immediate release of all hostages held by Hamas and condemned Israel’s continued settlement expansion in the West Bank, describing it as a direct challenge to peace and to the territorial integrity of a future Palestinian state.

“Peace is not only about borders and agreements. It is also about shared stories and understanding that humanize all sides and foster trust,” she said, advocating for a new, inclusive narrative that brings both Palestinians and Israelis toward reconciliation.

Canada is currently co-leading a diplomatic initiative alongside Qatar and Mexico aimed at rebuilding momentum toward a comprehensive and just peace process.

“This moment demands political courage and resolve, and we must stand together and choose a different path — one that leads toward a sustainable and just solution,” Anand concluded.

Earlier on Monday, Prime Minister Mark Carney echoed these sentiments during a press briefing in Prince Edward Island. He reaffirmed Canada’s readiness to work with international partners to recognize a future Palestinian state — provided Hamas is excluded from governance. He also criticized what he described as Israel’s “lack of respect” for the territorial integrity of the West Bank through settlement expansion and related policies.

Meanwhile, the United States expressed strong reservations about the UN-hosted conference. U.S. State Department spokesperson Tammy Bruce labelled the event “unproductive and ill-timed,” warning that it could hinder ceasefire efforts and embolden Hamas. She called the gathering “a slap in the face to the victims of October 7.”

However, former U.S. President Donald Trump called on Israeli Prime Minister Netanyahu to allow more aid into Gaza, signaling diverging views within the American political establishment on how to address the escalating humanitarian crisis.

Canada’s active participation in the conference and its new commitments reflect a renewed diplomatic push to uphold the viability of the two-state solution amid deepening regional tensions and geopolitical uncertainty.