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Palestinian Economic Bulletin

Issue 36 - September 2009

Main reports: The PNA’s current budget is funded until the end of October following an influx of more than $450m from the US, Saudi Arabia, EU, Egypt and Sweden. Prime Minister Fayyad announced September government salaries will be paid before the Eid holidays.

The Palestinian Mortgage and Housing Corporation (PMHC) will provide 20 year loans with a five year fixed rate of 6.95% for new homes in Ramallah built by the Union Construction and Investment Corporation (UCI). A number of other banks have also agreed to provide five year fixed rate loans at 7.25%.

Wataniya Mobile will withdraw from the Palestinian Territory if the 4.8MHz frequencies are not provided by 15 September. The PNA will be asked to return $140m already paid towards licence fees and provide financial compensation for other sunk costs.

Unemployment fell from 25.4% to 22.2% in Q2 2009 in the Palestinian Territory (according to the ILO definition). Unemployment in the West Bank decreased from 19.5% in Q1 2009 to 15.9% in Q2 2009. In the Gaza Strip the rate fell slightly, from 37% to 36% in the same period.

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PDF icon Issue 36 - September 2009

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