GAZA, Oct. 8 (Xinhuanet) -- A new city will be built on the territories of the former Israeli settlement of Morag near the town of Rafah in southern Gaza Strip, Palestinian official sources said on Saturday.

    Palestinian President Mahmoud Abbas will inaugurate the city later on Saturday, said the sources, adding Abbas would accompany UAE minister of information Abdullah Ben Zayed to place the corner stone of the first project the Palestinian National Authority (PNA)started after the withdrawal from Gaza Strip finalized.

    According to the sources, the new city, which will be called Sheikh Zayed Ben Sultan, late president of the United ArabEmirates (UAE), was agreed to be financed by the UAE with 100 million US dollars.

    The project would be housing hundreds of Palestinian families in Rafah town and refugee camps, whose houses were demolished or razed by the Israeli army during the last five years of the Intifada (Palestinian uprising).

    The Israeli army withdrew from the Gaza Strip on Sept. 12 and evacuated all the 21 settlements in the strip after demolishing the settlers houses there. Enditem