IMF expects growth in Palestinian economy to slow this year to about 4.25 percent, with little progress expected in cutting unemployment.
Middle East Online | July 3, 2013
Victims of Israel’s restrictions
WASHINGTON – The International Monetary Fund said Wednesday that Israel’s tight restrictions hinder the growth of the Palestinian private sector, holding back the Palestinian economy.
In a report following a mission to the West Bank and Gaza, the IMF said it expected growth in the Palestinian economy to slow this year to about 4.25 percent, with little progress expected in cutting unemployment from the current 24 percent.
The report said the Palestinians need to build the private sector in an economy dominated by spending by the authorities, mainly the Palestinian Authority, heavily dependent on foreign aid to surmount a chronic deficit.
“Persistent Israeli controls and obstacles on internal movement, exports, and imports in the West Bank, as well…