PSF was founded in 1973 by a group of Palestinian, Lebanese and Arab scholars and businessmen in order to help underprivileged Palestinian students to access university education.

The PSF is a non-governmental, non-political and philanthropic educational association registered on the 28th of December 1970, at the Ministry of Interior and Municipalities in Lebanon, under registration number 380/ AD.
Since 1973, the PSF has been continuously seeking funding opportunities in order to offer adequate support for brilliant underprivileged Palestinian students. This support is provided in the form of extending loans to be paid back by the beneficiary in the form of installments with zero interest after one year after graduation. The importance of this type of loan is its ability to rotate over years, allowing more students in need to pursue university education, fulfill their dreams for a better future, and lead a dignified life. The PSF depends on contributions received from individuals and businessmen, both Arabs and non-Arabs as well as international organizations.