The European Commission has decided to suspend funding for development projects in the Palestinian territories following the aggression of the Hamas terrorist group against Israel.

Olivér Várhelyi, European Commissioner for Neighbourhood said "the scale of terror and brutality against Israel and its people is a turning point", following which "there can be no business as usual".

"As the biggest donor of the Palestinians, the European Commission is putting its full development portfolio under review, worth a total of EUR 691m," the commissioner stressed.

Furthermore, the European Commission is immediately suspending payments for existing projects for Palestine, reviewing all projects, and postponing new financing suggestions for Palestinian aid "until further notice".

"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. We need action and we need it now," Várhelyi summarised.

Earlier, Germany and Austria announced their decision to suspend financial assistance to Palestine separately.

Earlier, the European Union issued a statement in response to the unprecedented Hamas attack against Israel, expressing support for the Israeli side.

The EU is also expected to hold an emergency meeting of foreign ministers on Tuesday, 10 October, in response to the Hamas attack on Israel.