Private sector investment is a priority for the Department for International Development's programme in the Occupied Palestinian Territories (OPTs). The UK funded the Investment Climate Assessment conducted by the World Bank in 2007, which was critical to identifying the challenges and needs for business to recover in the OPTs. DFID, in partnership with the World Bank, has allocated £3 million over three years to make Palestinian businesses more competitive.
DFID was a leading partner of the Palestine Investment Conference (PIC) that took place in Bethlehem on 21-23 May. I hosted a “curtain-raiser” event for it here in London on 2 May. The conference itself was successful. With DFID support, investment projects totalling £1 billion were prepared for the conference. These have the potential to create 50,000 new jobs, which is critical to economic recovery and a sense of hope, particularly among young people. Ten investment agreements were signed for a total of over £700 million, primarily in housing, infrastructure and telecommunications with Arab companies. At the conference, I launched a new private sector initiative—the £3.7 million New Market Development Initiative—to support Palestinian businesses to compete in new markets and enhance exports. DFID will provide £3 million and the World Bank £0.7 million. We will continue to work to help make investment promises a reality.