UN Secretary General Antonio Guterres (Xinhua file photo)

UNITED NATIONS, Aug. 31 (Xinhua) -- United Nations Secretary-General Antonio Guterres on Friday regretted the United States' decision to end aid to the UN Relief and Works Agency for Palestine Refugees in the Near East (UNRWA).

Describing UNRWA as an important agency that provides essential services to Palestine refugees and contributes to stability in the region, the UN chief said that UNRWA "enjoys his full confidence," according to a statement issued by Stephane Dujarric, spokesman for Guterres.

"The U.S. has traditionally been the largest single contributor to UNRWA. We appreciate its support over the years," the secretary-general said.

"(UNRWA) Commissioner General Pierre Krahenbuhl has led a rapid, innovative and tireless effort to overcome the unexpected financial crisis UNRWA has faced this year," said the UN chief, adding that "it has expanded the donor base, raised considerable new funding, and explored new avenues of support. In addition, UNRWA took extraordinary internal management measures to increase efficiencies and reduce costs."

"UNRWA has a strong record of providing high-quality education, health and other essential services, often in extremely difficult circumstances, to Palestine refugees who are in great need," Guterres noted.

The secretary-general called on other countries to help fill the remaining financial gap, so that UNRWA can continue to provide this vital assistance, as well as a sense of hope, for this vulnerable population.

The U.S. State Department announced Friday that Washington will not provide assistance funding any more for UNRWA.

UNRWA runs over 700 schools serving almost 525,000 children and offers healthcare for some 3.5 million refugees through a network of 150 clinics.

In addition, UNRWA's food and cash assistance program offers some 1.7 million dollars to extremely vulnerable refugees.

Throughout the region, the agency serves 5.3 million Palestinian refugees.