RAMALLAH, October 20, 2014 (WAFA) – A decline in industry's pessimism regarding future production and employment has been witnessed, especially after the cessation of the Israeli attack on Gaza, said a PMA press release.

Although pessimism dominates Gaza, data revealed that the industries in Gaza are optimistic regarding future production and employment, supported by movement of the international community to reconstruct Gaza, and promises of opening Rafah cross-border.

The press release said that the index increased from -82.6 point in September to around -1.8 point this month.

“Such improvement reflected in the resumption of operations by all industrial sub-sectors, especially the food sub-sector which rose from -29.1 point to -1.8 point, construction sub-sector which went up from -12.2 point to 3.9 point, and metallic industries which improved from -18.9 point to 5.9 point between September and October,” the press release showed.

The positive impact and support of the national product campaign was highly valued in Gaza and helped increase optimism regarding production and employment, the press release added.

Increasing crossing point’s activities, due to easing some of the Israeli restrictions, helped boost optimism regarding gradual recovery of industrial activity in the near future, said PMA.    

PMA said the development took place because Israel ended its aggression on Gaza, yet if compared with the corresponding month of 2013, the index shows a decline from -0.6 points.  

Meanwhile, the overall Business Cycle Index of the Palestinian Monetary Authority (PMABCI) saw a relative recovery with an increase from -36.1 points in September to around -13.1 points in October.

According to PMA data, the start of school year and the preparations for social events, such as weddings, led to an increase in activity and demand for educational supplies.

In the West Bank, the Business Cycle Index witnessed an increase from -21.3 point in September to around -15.8 point in October, due to the improvement in textile, leather, and paper, plastic, and chemical and pharmaceutical sub-sectors.

A decline in the performance of wood, furniture, and food sub-sectors took place, declining from -0.7 to -1.8 point between September and October.

The improvement in the West Bank’s index brought about an increase in demand during Eid al-Adha and a rise in pharmaceutical products during and after the Israeli attack on Gaza.

In Gaza, the index witnessed an improvement during October which reflected the increase in demand for commodities after the end of the 51-day Israeli offensive.

M.N/M.H