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Home Reports and investigations 19/February/2021 09:23 PM

UN Report: Palestinian socioeconomic development suffers one of its worst years since 1994

UN Report: Palestinian socioeconomic development suffers one of its worst years since 1994
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JERUSALEM, Friday, February 19, 2021 (WAFA) – A newly published United Nations report has described the year 2020 as a year of setbacks for the Palestinians, their institutions, and their economy owing to the COVID-19 pandemic and an unprecedented fiscal crisis.

The report highlights that during the first COVID-19 lockdown last spring, around 150,000 Palestinians lost their jobs, and similarly large negative impacts are expected from the present lockdown. "In 2020, the Palestinian economy contracted around 10 to 12 percent—one of the largest annual contractions since the Palestinian Authority was established in 1994."

The report, issued by the Office of the United Nations Special Coordinator for the Middle East Peace Process (UNSCO) for the upcoming bi-annual virtual meeting of the Ad Hoc Liaison Committee (AHLC) on 23 February 2021, notes that almost half of the Palestinian population now needs humanitarian aid, with the protracted humanitarian crisis exacerbated by the pandemic.

The PA and the Palestinian people have been hit hard in 2020, with more than half the population in need, but I'm hopeful that donors will step up and provide much needed support," said the Special Coordinator for the Middle East Peace Process, Tor Wennesland.

Highlighting some areas of optimism, Wennesland, stated, "As of early February, vaccines have also begun arriving in the Occupied Palestinian Territory and, through the efforts of the World Health Organization and UNICEF, the UN is supporting the Palestinian Government's preparedness to receive and administer vaccines, including through the global COVAX-AMC facility."

"These are challenging times, but this is all the more reason for Israeli and Palestinian leaders to demonstrate flexibility and a pragmatic approach to solving urgent issues and ensuring the Palestinian people can bounce back from a tough year," said Wennesland.

The report calls on the international community to support a wide range of humanitarian and development projects, alongside technical assistance, to help the Palestinian Government follow through on its pledges of economic reform.

The report also states that "reintegration of the West Bank and the Gaza Strip across the greatest number of dimensions should be a priority."

The report notes some of the initiatives that the UN and its partners will continue, including critical support to Palestinian health services in the occupied West Bank and the Gaza Strip, as well as supporting the PA's socioeconomic response plan to COVID-19, through fundraising, technical assistance, and implementation.

The report adds that, depending on donor support, the UN can scale up its ongoing job creation programs and accelerate support for critical infrastructure projects and the private sector, most notably to small- and medium-sized enterprises.

Special Coordinator Wennesland said, "I call on the international community to work together to prevent any further backsliding for the Palestinian people and see progress in some important areas of common interest, particularly in the Israeli-Palestinian economic relationship."


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