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Source: United Kingdom
3 April 2014

PM announces UK boost for Palestinian economy

David Cameron announces a range of initiatives to to support the Palestinian economy.

A British boost to the Palestinian economy will help businesses expand, create jobs and support increased agriculture, Prime Minister David Cameron announced during a visit to Israel and the Palestinian Territories.

Specific initiatives set out by the Prime Minister during his 2 day visit include:

Speaking alongside President Abbas, Prime Minister David Cameron said: Palestinian Market Development Programme

The new £1.5 million support for the Palestinian Market Development Programme is in addition to the £11 million the UK has already committed. It is providing grants or technical assistance to some 570 businesses across the West Bank and Gaza, helping them to target 420 new domestic and foreign markets and develop around 300 new products and services.

The programme will help ICT, agriculture, tourism and other sectors become more competitive, innovative and productive. It will also help Palestinian businesses target foreign investors and provide advice on overcoming barriers to investment in key sectors.

UNRWA job creation programme

The £1.5 million UNRWA job creation programme in Gaza will give nearly 1,000 refugee women the opportunity to take part in short term placements of 3-12 months in health centres and schools, which will provide a predictable income while also boosting their skills and employability.

This builds on the UK’s existing £14.4 million funding to this programme, providing work to 5,300 men and women in Gaza each year. More than half of all young people in Gaza are unemployed and 80 per cent of people depend on international aid contributions.

Restoring wells for Palestinian farmers

The new £6.2 million programme from the UK will restore 15 agricultural wells in Area C in the West Bank so that Palestinian farmers can grow fruit and vegetables that require more water but that typically can then be sold at a higher price.

UN analysis indicates that for each £1 invested in groundwater well rehabilitation, an additional 16.8kg of vegetables can be produced annually. Half of all Palestinian wells have dried up over the last 20 years and farmers cannot draw enough water from aquifers to meet their needs. Yet the World Bank estimates that better irrigation in Area C could boost the Palestinian economy by more than $700 million.


The UK will also provide up to £0.5 million to HALO to clear three West Bank mine fields and return Palestinian land to productive use, with the cleared land used to grow high yield crops.

British Council Programmes

The placement programme is a collaborative project between The Portland Trust and the British Council. It enables business people and entrepreneurs to develop valuable skills and to gain experience of world class business and industrial working practices in the UK through short-term attachments with leading companies.

High quality English language training is in great demand throughout the Palestinian Territories and remains fundamental to job and academic opportunities, access to the wider world and social mobility. The British Council has resumed the teaching of English in its East Jerusalem centre, complementing its existing teaching operation in Ramallah. The centre will employ highly skilled local teachers and has been designed to ensure that it is financially sustainable and can respond effectively to changes in the local environment.

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