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West Bank and Gaza - Towards economic sustainability of a future Palestinian state : promoting private sector-led growth (Inglês)

Sustained economic growth widely recognized as a key part of the Palestinian state building project will depend upon the establishment of a dynamic, private sector led economy. While the Palestinian Authority (PA) has had considerable success in building the institutions of a future state, it has made less progress in developing a sustainable economic base. With the advent of the second Intifada, West Bank and Gaza (WB&G) suffered a severe economic contraction and by the end of 2006, real per-capita Gross Domestic Product (GDP) was 23 percent below its peak in 1999. The establishment of a Palestinian state and a comprehensive peace agreement can be expected to lead to rapid growth and more tax revenues for the PA. However, it is unlikely that even with significant growth the PA will be able to support an administration of the current size. Increasing trade depends upon efficient trade facilitation beginning with the adoption of an appropriate trade policy. It is important that the PA decide what type of policy it expects a future state to adopt. This will help the guide the institution building agenda, allow the private sector to plan and also support the negotiators as they discuss the parameters of a future political solution. Whatever system is chosen, it is important that the PA begin to develop the necessary trade infrastructure, including the institutional infrastructure. The PA needs to establish a clear border management system that is designed primarily to facilitate trade and does not militarize the border. It should move rapidly to develop the capacity of its customs agency, both to prepare for a future state and to increase current revenues.


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  • TIpo de documento

    Memorando Econômico do País

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  • País

    Cisjordânia e Gaza,

  • Região

    Oriente Médio e Norte da África,

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  • Nome do documento

    West Bank and Gaza - Towards economic sustainability of a future Palestinian state : promoting private sector-led growth

  • Palavras-chave

    Trade Policies;Trade Policy;Poverty Reduction &Economic Management;access to international financial market;Mortgage and Housing Corporation;free movement of labor;poverty head count;budget support;civil service reform plan;legal and regulatory framework;efficiency of tax collection;Technical and Vocational Education;public financial management reform;real exchange rate depreciation;public financial management system;rules of origin;domestic revenue;Private Sector Growth;trade in services;wages and salary;free trade agreement;increasing trade;trade regime;Promoting Private Sector;private sector job;higher value added;long term development;domestic tax revenue;public pension system;recurrent budgets;complicated tariff system;Labor Market Flexibility;land and housing;tax due;foreign direct investment;free trade policy;complete free trade;private sector activity;growth in trade;performance management system;trade and investment;Civil Service Code;gross enrollment rate;goods for export;Water and Energy;access to finance;market for exports;short term loan;short term credit;recurrent budget deficit;amount of land;access to land;perceptions of risk;firm level surveys;intellectual property rights;elasticity of demand;duty drawback scheme;secured transactions law;transfer of knowledge;rate of growth;increase tax revenue;movement of people;labor intensive production;expansion of trade;water and electricity;educated work force;investment and development;customs union;security situation;trading partner;free access;open economy;local bank;business environment;donor aid;recurrent deficit;uniform tariff;Fiscal policies;fiscal policy;tax base;foreign trade;deep integration;Fiscal Sustainability;peace agreement;fiscal crisis;transfer payment;productivity growth;productive sector;import duty;safety standard;Financial Sector;donor support;Aid Dependency;government revenue;capital expenditure;government expenditure;trade deficit;international community;preferential access;foreign assistance;investment climate;legal basis;wage gap;International Trade;macro economic;Public Services;industrial enterprise;technical standard;agriculture sector;supply chain;trade partner;trade relationship;tariff act;economic relation;tax rate;Political Economy;manufactured products;professional standard;quantitative restriction;policy option;arab countries;exporting firms;transitional period;tariff structure;transit right;tariff policy;foreign investor;transaction cost;external aid;investor confidence;anti-dumping legislation;Property tax;tax legislation;tax payer;world economy;negotiating power;international market;consumer access;competitive force;customs revenue;transportation infrastructure;external tariff;expanding trade;intermediate input;tariff rate;trade diversion;commercial opportunities;small economy;fixed tariff;government wage;consumer good;consumer goods;worker remittance;government transfer;cut off;aid inflow;pension payment;transfer account;real growth;labor regulation;positive growth;high wage;unskilled worker;cognitive skill;work effort;competitive industry;peace process;government fund;customs agency;regulatory environment;domestic investment;internal inconsistency;Company Law;Competition Law;land law;institutional infrastructure;border management;unemployed worker;legislative framework;political development;Land Registration;vacant land;competition policy;private investment;real gdp;Leasing Law;additional revenue;pension commitments;Water Subsidies;Wage Bill;political settlement;manufacturing enterprise;asian countries;outward orientation;Tax Administration;Natural Resources;skill development;administrative support;resident representative;accurate information;poverty headcount;donor assistance;temporary measure;raise revenues;macroeconomic indicator;high share;total employment;employer demand;labor mobility;Job Matching;outstanding credit;institution building;math score;physical infrastructure;innovation indicator;high unemployment;science study



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