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Study: Occupation costs Palestinian economy $7 billion
Published Thursday 29/09/2011 (updated) 02/10/2011 12:40
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Israel controls all entry and exit of goods into Palestinian territories, which the
report authors say is one factor restricting the Palestinian Authority's
revenue-raising capacities. (MaanImages/File)
BETHLEHEM (Ma'an) -- A Palestinian Authority ministry and national research institute released a joint study Thursday which estimates that the Israeli occupation cost the Palestinian economy around $7 billion in 2010.

"Without the occupation, the Palestinian economy would be almost twice as large as it is today," the PA Ministry of National Economy and the Applied Research Institute of Jerusalem said in a statement.

Losses sustained by Israel's occupation are equivalent to 85 percent of Palestinian nominal GDP, the study found.

Without Israel's control of resources and access to Palestinian territories, the economy "would run a 'healthy' fiscal surplus, ending its dependence on donors' aid," the report said.

The research quantified, for example, Israel's ban on Palestinian access to the Jordan River, Dead Sea and groundwater aquifers in the West Bank, as costing Palestinians $1.9 billion in lost agriculture revenues, $1.2 billion in mineral resources and $143 million in Dead Sea tourism.

Israel's blockade of the Gaza Strip cost the Palestinian economy $1.9 billion, and restrictions on water another $1.9 billion, the study said.

Israel earns around $900 million per year through control of West Bank mining and quarrying, the research authors estimated, and $150 million from commercial Dead Sea products.

ARIJ and the national economy ministry said they had to under-estimate the figures due to a lack of data, leaving out costs which they could not quantify.

Relating to the issues of trade access and resources, the authors of the study said that the "majority of these costs do not have any relationship with security concerns," and were motivated by Israel's wish to restrict the development of a competitive Palestinian economy.

Minister of National Economy in the Ramallah-based government Hasan Abu Libdeh said the report backed findings of the World Bank and International Monetary Fund, and demonstrated the case for taking Palestinian statehood to the UN through President Mahmoud Abbas' membership bid, submitted Friday.

"No matter what the Palestinian people achieve by our own efforts, the occupation prevents us achieving our potential as a free people in our own country," the minister said.

"It should be clear to the international community that one reason for Israel’s refusal to act in good faith as a partner for peace is the profits it makes as an occupying power."

The PA will produce regular reports costing Israeli restrictions on the Palestinian economy, the release said.
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1 ) Tibi / Tubas
29/09/2011 18:13
Our foolish PLO's UN Membership Bid will DOUBLE THE COST.

2 ) southparkbear / usa
29/09/2011 19:23
if you add up whatever you could imagine for a 1000 years you would not get to 100MM. on the other hand. the professional refugees status gives you and income of 2 Bil dollars a year

3 ) Colin Wright / USA
29/09/2011 20:24
In addition, Israel -- by refusing to even describe the territories as occupied -- flouts her legal responsibility to provide for the well-being of the civilian population of the territories. So others have to pay to feed them, to meet the shortfall in funding for government services, etc. It gets worse than that. The classic is Israel bulldozing wells. Then the Palestinians have to buy their water from tankers -- owned by Israel. They are unspeakable swine. There's no end to it.

4 ) nour / one gaza
29/09/2011 21:04
hehehe, we don't know how 5 shekels look like

5 ) Mel / USA
29/09/2011 21:23
Well! That's quite a white-supremacist colonial-deal isn't it? We US tax payers give Israel 3 BILLION p.a.($8.5 million per day)2 exterminate native Arabs.Also sending $150 million more p.a. now,in military aid,as econo-aid is phased out.This US money allows Israel 2 make $9.9 BILLION profits in weapons sales,as the 7th largest weps dealer on the planet(all illegal of course)&US tax $'s pay 19% of Israel ethno-cratic,militarist-state budget. How very democratic&pluralistic of our'mentoral' USG?

6 ) Julie / USA
30/09/2011 07:01
interesting timing of the report. WHY hasn't this study been done before??? why is this just being studied and published now? the financial loss to Pals of occupation has always needed ongoing monitoring and reporting!

7 ) Mel / USA
30/09/2011 15:47
This is why Israel oppressses Palestinians & Lebanese.'Coz native Arab people have always been very academic,productive,&competative in trade mkts.Isrl can't compete with that.So it must destroy healthy Arab infrastructure,economy,business/production/manufacturing mobility.It won't compete equally.It has 2 dominate by destroying/deceiving.Everytime Pal/Leban.rebuild&profit,nationally,that's a threat 2 Isrli dominance.Isrl knows EU likes trading with Arab/Muslim nations,historically.

8 ) Mel / USA
30/09/2011 16:16
Cont:US &Isrl don't want more Euro V Dollar compt(henceSaddam&Moamma out).So,they keep bombing/destroying Arab trade development,keeping Isrl profitable(blood-money).Turkey's pissed off that G.Cyprus/Isrl r going 2 steal Turkish gas? OK!Maybe Turkey&Palestine should partner in business 2 drill the big Gazan Marine Gas Field B4 Isrl/EU steal that 2? Turkey finance it 4 a cut of Palestn. profit.Pals could work Turk platforms 2?DO IT!Otherwise Isrl will PIRATE/loot the lot,as usual!Bury the shekel?

9 ) Yehuda Solomon / Israel
30/09/2011 22:53
Economically, this is exactly why all Palestinians in Gaza, pre-Al-Naksa Israel and the W. Bank should move to Jordan/Palestine and build up their economic lives there. Jordan's economy has greatly improved since it signed a peace treaty with us and today Jordan is an example of prosperity as a highly-valued center of Mideast business and trade. Proof that an Arab nation doesn't need oil to prosper. @ 3) Colin Wright / USA, Forget about your camel shit about Palestinians (continued)

10 ) Yehuda Solomon / Israel
30/09/2011 23:04
being unable to fit into Jordan/Palestine and living under desert conditions without ample water. We and others would (if asked) be glad to help Jordan/Palestine construct and boost its water supply infrastructure and that could verily be done without impossible engineering obstacles to overcome and it COULD be done expeditiously. Yeah, there would be problems at first but probably the increase in Jordan/Palestine's population would, in relatively short time, be a boon. The new (continued)

11 ) Yehuda Solomon / Israel
30/09/2011 23:20
Palestinians would be given Jordanian/Palestinian citizenship, not have to worry about money for their own security, not worry about getting building permits (which they hate us for anyhow because they have to cope with all the headaches and they're RIGHT about that), not have to worry about their asinine "unity," not have to completely rely on their own for health care, electricity, monthly tax collections, farming etc. and we would be RID of each other. That $7 billion should go THERE.

12 ) nour / one gaza
01/10/2011 00:58
you have no idea how much it cost to have 100 lamburginis waiting in checkpoint with running engines

13 ) southparkbear / usa
01/10/2011 13:29
i think the true cost are 7 trillions an hour

14 ) Outsider / EU
01/10/2011 15:57
9) Look up the expression "ethnic cleansing" in a dictionary.

15 ) Mel / USA
01/10/2011 21:35
#9,10,11:Jehuda: Only 1 problem there? It should be all the Jews/Israelis who refuse to go back behind the partition lines,that get shoved into Jordan,or sent back to E.Europe,USA,S/Africa,Australia,Ethiopia etc to their native Western/African cultures/birthlands? Palestinians are native Arabs,legally entitled to stay,in Palesine,& be rid of the colonial ethno-settlers who won't stay on their allotted ethno-land as per partition law.Why do U think rational Jews are leaving&going home? Zionism!

16 ) BEN JABO / ISRAEL
02/10/2011 14:08
9) I did, it's exactly what Hamas & the PLO want to do to the Jews
As defined in their respective Charter & Covenant

17 ) BEN JABO / ISRAEL
02/10/2011 14:11
15) MELanoma
Forget the Partition Lines, Arabs rejected them in 1948, they no longer exist

If you want to get rid of the Jews, then you'll have to leave home to try it for yourself, instead of instigating others to do the dirty work you're too much of coward to try yourself

18 ) Yehuda Solomon / Israel
02/10/2011 18:28
@ 9) Outsider / EU, I did. Point is, what the West calls "ethnic cleansing" has been misconstrued to always mean evil and in many, many cases, it is. For example, in recent history, it's because of all the horrible attacks among Serbs, Croatians, Bosnians, Muslims, Kosovars, Muslims, etc. when Yugoslavia fell apart. That WAS evil and sickening. I don't want anything bad to happen to the Palestinians; I WANT them to be happy and prosperous. I just want them to peacefully have (continued)

19 ) Yehuda Solomon / Israel
02/10/2011 18:39
Australia, Ethiopia) are NOT meant for us. Our land of Israel IS. If the Arab Palestinians go to Jordan/Palestine, they would still be IN Palestine. Rational Jews are NOT leaving the settlements on balance. The settlements are experiencing a net INCREASE in population and continue to GROW.

20 ) Yehuda Solomon / Israel
02/10/2011 23:15
Correction, if this gets posted, in my reply (#18) I meant to say @ 14) Outsider / EU, but I think everyone knows this; also, in between my replies labeled 18) and 19), one is missing. So, for accuracy, here it is again (after 18): ... all that but not in Israel. All of Palestine (till after World War I) was on both sides of the Jordan River. So we have our nation and the Palestinians (already) have theirs. If we annexed Gaza and the WB, Jordan/Palestine would still be larger than Israel.
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