Dr. Hasan Abu-Libdeh, the Palestinian Minister of National Economy urges world boycott of settlement goods

TML: Dr. Abu-Libdeh, a short time ago, legislation was passed that makes it a criminal act for a Palestinian to work in an Israeli community located on land Israel acquired control over in the 1967 war -- settlements. At that time, Palestinian workers protested that the law took away their livelihood, but failed to provide an alternative. What’s the status of the law?

Abu-Libdeh: First of all, the law is still effective, and it will be implemented. Second, those Palestinians who work in the settlements, or continue to work in the settlements will face the consequences because it is the law. Thirdly, the settlements are illegal entities; they are built on Palestinian soil. So I don’t think it is morally correct for any Palestinian to deal with these settlements because they are illegal and they are jeopardizing our national rights.

TML: The workers argue they need the jobs in order to earn a living. Does the law take that into account?

Abu-Libdeh: There are 266,000 Palestinians who are jobless today. These Palestinians and all Palestinians deserve a chance to find a job to feed their children. Therefore, we’re not really talking about only those Palestinians who are working in settlements who have to feed their children. All the Palestinians are jobless because of the various Israeli measures against the Palestinian economy. If the Israeli government and the Israeli military lift their access and movement restrictions against the Palestinian economy, we will be able to resolve all of this. Now, I tell the Israeli side, if they are so passionate about these workers, absorb them into the Israeli economy. Israel occupied the Palestinian territories in 1967, and since then worked day and night to make our economy totally dependent on the Israeli economy. And then out of the blue, in one night, they have decided to kick all the Palestinians out of the Israeli marketplace, leaving 149,000 Palestinians jobless overnight. Therefore, I think those Palestinians working in settlements better find jobs in the Palestinian market; I think the Palestinian economy will be able to absorb them. I think it will take time, but I think they will be integrated.

TML: The number you just stated -- is that the same number of Palestinians who rely on settlements for work?

Abu-Libdeh: Our information is that there are about 22,000 Palestinians working in settlements today. There are also a few thousands who work there seasonally. Therefore, when the season of agriculture is at a high level, those Palestinians work there. But those Palestinians who work there continually (year-round) are about 22,000.

TML: Beyond the settlement issue, how is the economic forecast for the Palestinian Authority controlled areas?

Abu-Libdeh: Well, for 2010, we think the economy has grown about 8 percent, we project—if things do not get worse—we project we will have similar growth. But we will continue to have growth of more than 5 percent for the year 2011. In this regard, I would like to say again that if the Israeli side lifts the access and movement restrictions on the Palestinian economy, we will witness very steady double-digit growth for many years for the Palestinian economy. [The Palestinian] economy is always very much under-utilized and we always say that this is a very real, untouched potential that is working to be exhausted by the investors, by the various players in the economy. This is an economy that has huge room to grow if the restrictions on the Israeli side are lifted.

TML: Doctor Hassan Abu-Libdeh, is economic cooperation with Israel feasible?

Abu-Libdeh: Between the state of Palestine and the State of Israel, yes. We need to cooperate as two neighbours. I think there is a great opportunity in both economies. But it has to be between two equal partners. We think that Israeli-Palestinian economic relations will be a very healthy development, once a Palestinian state is established. The economic cooperation between Israel and the Palestinian territories today -- Israel being the occupier and the Palestinians being the occupied -- will never be that of mutually equal interests to both sides.

TML: How much mutual cooperation in the economic sector can there be before negotiations are concluded?

Abu-Libdeh: Well, first of all, the negotiations don’t really have to be concluded in many years. For the past 18 years, the Israelis and Palestinians have negotiated more than any two nations on earth in recent history. All solutions, in my opinion, are known. What is needed today is for the leaders to take decisions. Between now and the day when we see a Palestinian state established, we are willing to apply in-full the Paris Accords. The Paris Accords regulates the Palestinian-Israeli economic relations. But unfortunately, this accord is not respected by Israel.

TML: You recently sat at an event of The Mideast Press Club with Israel’s Minister of Trade, Industry and Labor Binyamin Ben-Eliezer. Did anything come out of the private time you spent with him?

Abu-Libdeh: We do have our regular contact at the level of technical issues. And the issues that we have discussed in private are issues that we continue debating and we continue exchanging views, and we hope to resolve some of differences we had on some of the issues.

TML: The campaign against using goods and services coming from Israeli settlements resonates beyond the Middle East – in Europe, in particular, many try to conform to the boycott. Will your government’s decision regarding workers here affect the boycott as a political tool?

Abu-Libdeh: Listen, I think all governments and nations around the world should join the boycott, because this boycott is going to serve peace. As long as the settlers are economically prosperous and economically benefitting from the continued occupation, this will make it very difficult for the Israeli people, and the Palestinian people, to reach peace because these four or five hundred thousand radicals, many of them motivated by economic means, will dictate to the Israeli government and to the Israeli public, the course forward. I think the drying out of the resources from the settlements and closing the settlements, and reducing their economic power is very important for the cause of peace.

TML: There are cities of 50,000 residents included among communities included in the boycott. How do you deal with a community of that size in terms of the boycott?

Abu-Libdeh: These settlers exist under the protection of the Israeli government and Israeli occupiers, and extra-territorial activity is against the international law. The international law is very clear: these settlers should go home: “home” meaning Israel proper. And whether there are 50,000 or 5 million, this is not the issue for me. The issue is that they are sitting on Palestinian land that has been taken, by force, against the law. And that has been exhausting the Palestinian resources, water and natural resources, including water, etc. The issue is whether these settlements have been built against international law or not; or they have been built against the Palestinian people or not; or whether they have been built as an investment initiative; or as an extra-territorial addition from the Israelis on the Palestinian land, the Palestinian state, and the Palestinian resources.

TML: Four South American nations have recently declared their recognition of an independent Palestinian state, and PA president Mahmoud ‘Abbas laid a cornerstone on what will be the Palestinian embassy in Brazil. The U.S. says it’s premature, and harms negotiations. How do you feel?

Abu-Libdeh: I don’t think this is up to the American administration to decide when several nations can recognize Palestine. I think every recognition of the state of Palestine is one step forward to the realization of the Palestinian rights and realization of peace in the Middle East.

TML: There is an apparent inconsistency between Mahmoud ‘Abbas and Prime Minister Fayyad who recently said that a unilateral declaration of statehood will create a “Mickey Mouse state that’s under occupation” and therefore there will be no unilateral declaration of statehood. Which is it: unilateral declaration or not?

Abu-Libdeh: As of today, it’s not a unilateral declaration and this is the stated policy of the PLO. But we never know what the future will bring.

TML: Media report that Mr. ‘Abbas is actively lobbying more nations for declarations like those of Argentina, Brazil, and Ecuador. Is there a critical mass of nations at which point a declaration of statehood will be made?

Abu-Libdeh: I think we are going to see more and more nations coming forward and declaring this; and partly because they believe the Palestinians deserve a state of their own, and partly because I think they have become not-so-believing in the policies of Israel and the United States to bring peace to the region.

TML: Finally, is reconciliation between Fatah and Hamas on the horizon?

Abu-Libdeh: We’re waiting for Hamas to come forward and this is making it difficult for the Palestinian internal front to come together. Fatah has recognized the efforts that the Egyptian government has put forward in developing proposals to bridge the differences between Fatah and Hamas, and we’re waiting for Hamas to come forward independently -- and independent of the pressures of some regional powers -- to accept that proposal. And if it’s accepted, I think we will be able to move forward.

TML: Looking ahead to 2011, do you think that the state of Palestine will be declared?

Abu-Libdeh: Well I hope it will be. I don’t know if it will be, but I hope it will be.

TML: Dr. Hasan Abu-Libdeh, Palestinian Minister of National Economy, thank you for your time.