A piecemeal approach to the current political, economic and
security challenges in the Occupied Palestinian Territory (OPT)
only risks perpetuating a continuing crisis, according to a new
UN report published on Thursday.
“Short-term fixes, focused on stabilizing and managing recent
crises are necessary, but not sufficient”, stated UN Special
Coordinator for the Middle East Peace Process Tor Wennesland.
Issued by the office of the UN Special Coordinator for the Middle
East Peace Process (UNSCO) for next Wednesday’s meeting in Oslo
of the Ad Hoc Liaison
Committee – the principal policy-level coordination
mechanism for OPT development assistance – the report calls for
coordinated and integrated response to resolve an increasingly
precarious situation for all Palestinians.
Stagnation and decline
Describing the economic and fiscal situation as “dire”, the UNSCO
report highlights the urgent need to address it head on.
Years of economic stagnation in the West Bank was followed by a
sharp GDP per capita decline in 2020.
And the economy continues its multi-decade decline
in the Gaza Strip, with persistently high unemployment –
particularly among women.
“It is increasingly difficult for the PA (Palestinian Authority)
to cover its minimum expenditures, let alone make critical
investments in the economy and the Palestinian people”, said Mr.
Wennesland.
Work in concert
Along with other longstanding shortages of public funds, which
are contributing to the crisis, Israel continues to deduct and
hold a portion of so-called clearance revenues, which the
Government unilaterally equates the amount paid by the
Palestinians to its prisoners, their families, or the families of
those killed or injured during attacks.
Given the severity of the crises endured so far this year, the
report calls on the Israeli Government, Palestinian Authority,
and international community to work together on an
integrated response in the coming months.
It first calls for the immediate economic and fiscal situation
facing the PA to be addressed and its institutions to be
strengthened, with a near-term focus on delivering public
services.
Secondly, the report advocates for the end of hostilities that
began on 21 May between Israel and militant groups in Gaza and
for economic development support in the Strip.
Finally, it urges a sustainable and inclusive
economic recovery that improves the livelihoods of all
Palestinians, including women, young people, refugees,
and other vulnerable groups.
De-escalate tensions
The report warns that the situation across the OPT
remains extraordinarily fragile as tensions
continue in East Jerusalem; violence lingers over settlement
activity, demolitions and evictions; and Israeli security
operations in Area A continue to undermine the PA and Palestinian
institutions and diminished prospects for any two-State solution.
To move forward on key political questions and for progress on
each of these tracks, Special Coordinator Wennesland upheld the
need for governance and socioeconomic reforms along with
sustainable, policy changes.
“Action can help unlock international donor support and new
sources of public and private finance”, he said while warning
that unilateral moves that exacerbate flashpoints or drive the
conflict, would risk jeopardizing any progress toward improving
the situation in the OPT and further deter extra funding.
