New Delhi, Oct 7 : In a gesture of solidarity with the Palestinian cause, India gifted a piece of prized real estate in the capital''s elite diplomatic enclave for building the embassy of the Palestinian National Authority and announced 20 million US dollars as budgetary support on Tuesday.

During a function organized at the ground of the proposed chancery-cum-residence complex at Chanakyapuri in Delhi, Prime Minister Dr. Manmohan Singh reiterated India''s unwavering solidarity and commitment to an independent Palestine.

"I reiterated to President Abbas, India''s consistent support to a negotiated solution to the Palestine issue,” said Dr. Singh.

“India believes that the solution should be based on the relevant United Nations resolution, the Arab Peace Plan and the chartered road map resulting in a sovereign, independent, viable and united state of Palestine living in a secure border, side by side with Israel," added Dr. Singh.

The Prime Minister also pledged 20 million dollars to Palestine Authority for budgetary support as well as for various developmental projects.

Singh further said, "I have great pleasure in announcing a grant of ten million dollars as budgetary support to the Palestinians National Authority to help meet its immediate requirements and a further 10 million dollars as assistance for development projects."

An agreement on the construction and equipping of a school in the name of Jawahar Lal Nehru in Abu Dees in Palestine was also signed.

President Mahmoud Abbas and Prime Minister Dr. Singh laid the foundation stone of the chancery-cum-residence complex of the embassy of Palestine and formally dedicated the building to the people of Palestine from the people of India.

" I would like to very frank and say that India has given help and assistance to Palestine without asking for any favour in return," said Abbas.

Earlier the External Affairs Ministry in a statement said that the complex is being built as a gift of the government and the people of India. (ANI)