Palestinian factfile

Date: 09/11/00

According to figures compiled by the United Nations special coordinator, the recent crisis in the West Bank, Gaza and the Occupied Territories cut daily output of the Palestinian economy in half in the period from 28 September when the first outbreak of violence occurred to 19 October.

This is because of border closures by the Israeli forces, barriers between Palestinian villages and cities, and disruption in the Palestinian territory which have prevented people and goods from moving freely in the area.

Since the confrontations between Palestinians and Israeli security forces began in late September, the average daily labour flow of Palestinian workers into Israel has fallen by 53% while the border closure on 8 October led to a total halt in the labour flow. This is estimated to have cost workers around €4 million a day in lost earnings.

In the first half of 2000, around 125,000 Palestinians worked on Israel, Israeli settlements and industrial zones. Exports from Gaza have been blocked since the border was closed at the start of the Rosh Ha Shana holiday.

The UN predicts that the economic impact of the crisis will drive the Palestinian unemployment rate up from 11% this year to 30%.

The economy had experienced strong growth in 1999, with gross domestic product estimated to have increased by around 6% and the unemployment rate falling from 13.9% in the first quarter of 1999 to 10.9% in the same period this year. The level is, however, twice as high as in 1993.

In addition, the UN estimates that the losses caused by the destruction of buildings, orchards and vehicles by Israeli heavy weapons and attacks by Israeli settlers will run into millions of euro.

Source: Office of the United Nations Special Coordinator on the Palestinian National Authority Website