Office of the Special Coordinator for the Middle East Peace Process – UN Report - September 22, 2008 - Back to Resources Page

---

In May 2008, the Ad Hoc Liaison Committee (AHLC) meeting in London underlined the
importance of reinvigorating a tri-partite approach to improving the Palestinian economy,
institutional capacity and people’s livelihoods involving action by the Palestinian Authority
(PA), enabling steps by the Government of Israel (GoI), and support from donors. Since
then, and despite the persistent humanitarian conditions detailed in this report, the PA has
pursued important security and reform efforts. These efforts are the continuation of serious
and sustained process of Palestinian self-empowerment. They demonstrate a commendable
determination to build the institutions and economy of a future Palestinian State, in
conditions of great adversity.

Yet socio-economic conditions have seen little improvement in the West Bank and have
further deteriorated in Gaza despite the ceasefire agreement which took effect on 19 June.
Overall, unemployment figures remain high, despite a decrease in the West Bank1 and real
GDP growth is projected at about 1 percent in 2008, lower than the 3,5% originally projected
in the Palestinian Reform and Development Plan (PRDP)2, and obstacles to movement and
access to resources continue to discourage investment and economic growth.

There has been some improvement in tri-partite cooperation amongst the Government of
Israel, the Palestinian Authority and the international community. Successful cooperation has
included the preparation and implementation of the Palestinian Investment Conference in
Bethlehem in May; the recently improved security cooperation in the Northern West Bank
and the conclusion of an agreement in July to enable the launch of a second Palestinian
mobile operator. However, such isolated measures will not build a sustainable Palestinian
economy as the foundation for a future independent Palestinian state. Tri-partite cooperation
needs to be replicated and applied to other areas such as tourism, trade, health and so on.
For Palestinian economic development to occur, there must be a significant reduction in
movement and access restrictions and development must be allowed in Area C, which
comprises around 60% of the land in the West Bank. To further these goals, the UN would
welcome the revitalization of the Joint Liaison Committee (JLC) to rebuild confidence and
trust between the parties, and encourage further steps in the ongoing negotiations aimed at
achieving a viable and lasting peace agreement.

The Quartet Representative’s package of measures announced in May 2008 aims to change
the reality on the ground and spur economic growth, ease access and movement restrictions
and improve planning and development for Palestinians living in Area C. The three tracks
come together in the Northern West Bank where the goal is to support security
improvements simultaneously with economic development projects. While progress has
been made, in particular in the area of revitalizing economic projects, more remains to be
done before the Palestinian people at large can feel a difference in their daily live.

To download the full report please click below:

Attachment	Size
UN_Report_to_the_AHLC_meeting_Sep_2008.pdf	113.65 KB

---

Office of the Special Coordinator for the Middle East Peace Process – UN Report - September 22, 2008 - Back to Resources Page