OPINIONS

Sun 07 May 2023 10:10 am - Jerusalem Time

In Jerusalem, and the World Bank and United Nations reports for the year 2023

During the months of April and May, two World Bank reports were issued, which monitor the Palestinian official financial and economic performance after the pandemic, and a draft United Nations report on global performance towards achieving the 17 sustainable development goals.


The United Nations titled its report: Towards a rescue plan for the peoples and the planet to reflect the alarming expectations of where the world is heading in its quest to achieve the desired prosperity and peace. of goals. The report indicates that the segment of people living below the extreme poverty line has increased by about 70 million people, and that the segment of people suffering from food insecurity has also increased by 179 million people, most of whom are malnourished children. The report also indicates that the segment of people disconnected from energy networks amounted to about 700 million people, in addition to the increase in the segment of people who use polluted energy sources to reach about two billion people, with the expansion of the segment of people who suffer from the lack of water security. In its assessment of sustainable education plans, the report indicates a significant widening gap between countries that still adopt traditional education systems and those that have developed the education sector to adapt to technological development, including digital transformation and knowledge production. The report concludes with reference to the challenges facing the world in terms of development planning, noting that more than a quarter of the world's population now lives in areas affected by political and military conflicts, which has led to an increase in forced migration of about 100 million people who have lost their capabilities and homes.


As for the World Bank report on the state of Palestinian development, during which it reviews the performance of the Palestinian economy after recovery from the Corona pandemic, it reviews some important indicators that deserve analysis locally and globally. The report indicates that the unemployment rate (in the West Bank and Gaza Strip) decreased from 26.4% to 24.4%. The decrease is attributed to the increase in the number of workers in the Israeli economy, including settlements, which in turn led to an increase in remittances and support for household consumption of these slide. However, the report indicates, on the other hand, the dangers of declining to this side because of the war in Ukraine and the impact of supply chains on the one hand, and because of the continuous Israeli escalation against the Palestinian territories on the other hand. As for government revenues, the report indicates an increase in tax collection by 19%, with an increase in clearance revenues by about 20% on an annual basis, which reflects the increase in economic activities. With regard to public spending, the report indicates an increase in the wage bill, with a large accumulation of government liabilities for payment arrears to the private sector and the Pension Fund, which poses a threat, if it continues, to the national economy in the long term.


The plans recommended by the report include comprehensive reforms based on constructive and meaningful cooperation between the Palestinian government and the Israeli government, and reform measures that focus on controlling and reducing the allowances and wages bill, along with conducting a functional review to determine areas of employment and compensation to reduce pressure on the salary bill, with the importance of purposeful management of payments.


An analytical view of the two reports leads to predicting that the upcoming challenges will intensify. They require that national differences be overcome, efforts are directed to face future negative repercussions, and lessons are taken from UN reports that directly indicate that the entities that have mortgaged their dependence on external support are the ones facing the most severe development challenges.

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In Jerusalem, and the World Bank and United Nations reports for the year 2023