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 Countless editorials since the Nakbah have begun with the assertion that “These are the most difficult days in the history of modern Palestine.” Sadly, this statement can be no different. All sectors of economic and civil life continue to deteriorate at alarming rates. The year 2006 witnessed a win by Hamas in the Legislative Council Elections, leaving it in control of Parliament. Difficult days of Israeli sieges and closure policies, beginning in September of 2000, have become unbearable days with the cessation of international aid and blocking of Arab aid.
Dr. Mohammad Shtayyeh President of PECDAR Civil servants, constituting the bulwark of the Palestinian middle class, have had no salaries for nine months. Consequently, the school year started 75 days later than plannesd for the majority of youth in Palestine: 150,000 Palestinian civil servants were on strike, of which, 40,000 are teachers. Moreover, approximately 12,000 Health Sector staffers were also on strike.
Funds are not available from donors and when any amount becomes available from Arab sources, bank transfers are blocked. Tax clearance money is blocked by Israel and the Palestinian private-sector is barely paying taxes. Unemployment has struck more than 50% of the labor force and poverty has hit over 75% of the population.
Palestinian society faces enormous challenges in the near future: Palestinian institutions are struggling to sustain the development effort through the linking of relief aid with development prospects while trying to handle the disastrous fiscal crisis; the Presidency and civil society are trying to maintain democratic values under international rules when the international community does not accept the outcome of the open and free Parliamentary elections that occurred earlier this year; and continuation of the reform program under what has now become an egregious financial and security environment.
Compounding this paradoxical crisis; Palestinian professionals are seeking jobs in businesses outside of Palestine.
For the Palestinian Economic Council for Development and Reconstruction “PECDAR”, the load of work has intensified and our challenges are ever increasing. We managed to handle the 1996 crisis due to the full support of the donors.
In 2006 and the beggining of 2007, we tried to the best of our ability to move forward with our reconstruction and development programs that were designed and funded before the current crisis, through international cooperation. We have continued building hospitals, schools, roads and public utilities. At this point, infrastructure rehabilitation and development projects are still direly needed even though they are not the pressing priority for the people. The people need salaries, jobs, and a dependable social safety net for the most vulnerable segments of society.
Therefore; while we are seeking funding for the pressing needs of the people, we are not loosing focus on the development process of all economic sectors- led by private entrepreneurs- with special focus on investments that encourage the private-sector to invest in fields that generate employment and exports.
On the other hand we are also injecting effort in the development of Health, education, drinking and irrigation water; job creation programs; rehabilitation of destroyed infrastructure; roads; sewage; and solid waste; rehabilitation of courts, capacity building and technical training.
Many thanks goes to our donors, and partners in peace and development, with particular reference to the European Union, Kuwait, Bahrain, Saudi Arabia, Japan, UNDP, Islamic Development Fund, OPEC Fund, Saudi Fund, Malaysia, World Bank, Britain, France (AFD), and Arab Fund.
PECDAR has managed donor assistance over the last 13 years in the most professional and transparent ways; proving its credibility in the eyes of the donors and Palestinians people.
Recently, we have appointed an advisory board for PECDAR consisting of 3 former Ministers, 2 university Presidents, 3 leaders from highly respected NGO’s and 2 well established people from the private sector. This measure has been welcomed by President Mahmoud Abbas, to whom I directly report in his capacity as Chairman of the PLO. Due to the fact that PECDAR is not a governmental institution, it can continue to receive funds for infrastructure rehabilitation and development in these difficult times.
We assure our Palestinian people and our donors that we will continue to be as giving and energetic as ever.
Dr. Mohammad Shtayyeh
President of PECDAR
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