The Swedish International Development Cooperation Agency (Sida) suspended aid in January after allegations that UNWRA employees participated in terror attacks against Israel in October.
Sida decided to resume humanitarian support to the UN agency Thursday after UNRWA took measures to, among other things, increase transparency and strengthen the review of its personnel.
"The humanitarian crisis in Gaza is terrible and in many ways extreme. Over two million people are in urgent need of support to survive. UNRWA has a central role in enabling the humanitarian aid to arrive," the head of Sida's humanitarian unit, Jakob Wernerman, said after the decision was made to resume support.

UNRWA also has an important humanitarian operation in Lebanon, for which it is increasing support.

The UN agency’s support is aimed at life-saving efforts such as food, clean water, sanitation and health care, emergency housing and protection.
Of the $3 million from Sweden, 31 million kronor ($2.4 million) will be used in Palestine, while nearly $580,000 is going to Lebanon.
The Swedish government announced last week that it was lifting the hold on aid to UNRWA.
Sida's support is separate from the government's, and earmarked for humanitarian efforts.