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West Bank and Gaza update (Arabic)

This newsletter is a quarterly publication of the West Bank and Gaza office. This issue features: The impact of prolonged closure on Palestinian poverty. The note sets out a quantitative exercise, aimed at measuring the economic impact of the closure on poverty in the Palestinian areas. Outlined as the most damaging impact, are the prospects for economic growth through job creation, and private sector development: productivity levels are less than thirty percent, with firms experiencing severe liquidity problems, as transaction costs escalate. As for investors, despite years of progress, and donor assistance, uncertainty remains an un-quantifiable factor. Thus private sector development needs substantial repair just to get where it was and given the tight movement restrictions. The note reviews the proposed umbrella facility for donor assistance, through the new PEACE facility, and the activities supported. But, recent economic developments are characterized by worsening economic outputs, weak private consumption and investment, an extremely one-sided foreign trade, i.e., oil exports, and, by high growth in the Palestinian labor force.




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West Bank and Gaza update (Arabic). Washington, D.C. : World Bank Group.