The Palestinian Initiative for the Promotion of Global Dialogue and Democracy - November 27, 2008 - Back to Resources Page

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An Economic Snapshot of Palestine and the PRDP
By Nadia W. Awad for MIFTAH
Basic Information:
Gross Domestic Product (GDP): Defined as the total market value of all final goods and services
produced within the country in a given period of time (usually a calendar year).
• Real GDP in 2007: $3901 million
• GDP per capita in 2007: $1130
• GDP real growth rates have dropped by 8.38% since the peak of 1999.
Annual Population Growth Rate
• The annual population growth rate is 4%, one of the highest in the world.
Unemployment
• In 2007, just over 45% of Gaza’s work force was unemployed while in the West Bank,
unemployment stood at 25.5% of the workforce.
Poverty: The official and deep poverty lines for a six-person household (two adults and four
children) in the West Bank and Gaza at $572 and $457 in monthly expenditures respectively for
2007.
• Palestinians living in official poverty in the West Bank: 19.1% in 2007.
• Palestinians living in official poverty in Gaza: 51.8% in 2007.
• Palestinians living in the West Bank in deep poverty: 9.7% in 2007
• Palestinians living in Gaza in deep poverty: 35% in 2007
Private Sector Investment (West Bank and Gaza combined)
• Private investment in 2006 stood at about $665 million.
• There is no data to suggest private sector investment rose in 2007.
• This is 11.3% below the 2005 level, and less than half of the 1999 level.
Public Sector Investment (Government capital expenditures)
• In 2007, public investment was USD 306 million, all of it financed by donors, and much
lower than rates in the late 1990’s.
Consumer Price Index: The overall Consumer Price Index (CPI) for the Palestinian Territory with
its 2004 base year (2004=100) reached 124.19 in September 2008, and increased by 10.91%
compared to September 2007. In the first nine months of 2008, the average increase of prices
was 10.52% compared to the corresponding period of year 2007. The percent change in the CPI
is a measure of inflation.
Miscellaneous
• Manufacturing equipment is on average 12 years old.
• Restrictions on Gaza have led to the suspension of 95% of Gaza’s industrial operations.

Attachment	Size
EconomicSnapshot.pdf	171.31 KB

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The Palestinian Initiative for the Promotion of Global Dialogue and Democracy - November 27, 2008 - Back to Resources Page