Hamdallah told The Associated Press that Saudi Arabia has pledged $500 million and other nations have indicated they would join in.
He spoke at the end of a donor meeting lead by Norway on the sidelines of a gathering of world leaders at the UN.
The aid request comes as Palestinian leader Mahmoud Abbas Abbas is preparing to submit a resolution to the UN security council seeking a three-year timetable for the withdrawal of Israeli forces from the West Bank.
Palestinian officials said the resolution will be handed in immediately after Abbas speaks at the UN general assembly on Friday.
The recent Gaza war has weakened Abbas domestically, with Hamas enjoying a surge of popularity among Palestinians for fighting Israel.
He is under pressure at home to come up with a new political strategy after his repeated but failed attempts to establish a Palestinian state through US-mediated negotiations with Israel.
Abbas was meeting with US Secretary of State John Kerry later yesterday and express little optimism the resolution would survive a Security Council vote.
The United States will almost certainly veto such a measure, having said the only resolution to the Israeli-Palestinian conflict is through direct negotiations between the two sides.
A day earlier, Abbas said a UN rejection of the resolution would prompt him to seek membership in international institutions and agencies.
Aides said that would include the International Criminal Court, opening the door to war crimes charges against Israel for its military actions in Gaza and Jewish settlement construction on West Bank land the Palestinians want for a future state.
http://timesofindia.indiatimes.com/followceleb.cms?alias=UN Security Council,Rami Hamdallah
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