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Beyond Conflict 2004 Report

 

This report examines the economic underpinnings of peace between Israel and the Palestinians.

In particular, it focuses on the pivotal role the Palestinian private sector can play in generating growth, sustainable employment levels and better living standards. These are all necessary components of a lasting and stable peace. It estimates the quantifiable impact of peace on different aspects of the economy and for the Palestinian people at large.

The study is based in part on a new survey of some 70 businesses in the West Bank and Gaza, covering both past performance and future prospects. We also conducted interviews with official providers of finance, international investors and bankers and Palestinian and Israeli policy makers and politicians. During this process we discovered that, against all the odds, the vigour of a Palestinian enterprise culture remains substantially intact.

 

“Looking ahead, I believe that donor money is perfect for infrastructure but the economy as a whole would be better served if a major part of inflowing funds were to go to the private sector. ”

Mohammed Masrouji

A number of efforts are underway to harness the enterprise culture of the Palestinians in secure surroundings such as industrial parks. These appear attractive but are not the main answer. That will come from Palestinian entrepreneurship, which has proved remarkably resilient. It is this entrepreneurship that will become the engine of growth, underpinning the peace process and driving economic development.

“To my mind, peace is a man with two legs. One is called security the other is economic development. The man is crippled if he loses either leg.“

Samir Hasboun

The Portland Trust is a British non-profit ‘action tank’ whose mission is to promote peace and stability between Israelis and Palestinians through economic development.

The Palestinian Economic Bulletin

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