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Secretary of State, Prime Minister, Tony Blair and Prime Minister Fayyad say: "You can do business in Palestine"
2 May 2008
Looking ahead in the Occupied Palestinian Territories
The situation on the ground in the Occupied Palestinian Territories (OPTs) is challenging. We are all aware of the headlines about the humanitarian situation in Gaza, but there are some rays of light.
Few know that the 2007 World Bank Investment Climate Assessment found that, in comparison to other countries in the region, there is a relatively good investment environment in the OPTs. It is clear that economic development will be crucial to the establishment of a viable Palestinian state and that the OPTs need more private sector investment. DFID is at forefront of efforts to make this happen.
On
1 May, the Secretary of State hosted a “Curtain Raiser” for the 
Palestine
Investment Conference (PIC-Palestine) that will take place on 21-23 May in
Bethlehem. The PIC-Palestine was announced by PM Salam Fayyad and Condoleeza
Rice at the Paris Pledging Conference in December 2007. It aims to attract
investors to do business in the OPTs. It will take place in Bethlehem and is
aimed at Arab, US and European investors. Gordon Brown opened the event and
welcomed 200 UK investors, the media and donors.
The Prime Minister said: "My message is very clear: there is an economic
prize before us. There is a double dividend for you as companies and the
Palestinian people. There is a real chance to build on the ingenuity, skills and
the commitment of Palestinians to build peace and prosperity across the region.
"It is a challenge that many companies, I hope, will now take up, and it is a
challenge that can not only make a difference to the economic livelihoods of so
many people who need our help, but also make a difference to peace throughout
the world."
- Read the Prime Minister's full speech from the event on the
Speakers included the Palestinian Prime Minister Salam Fayyad, the Quartet Representative Tony Blair, PIC-Palestine Conference Director Dr. Hassan Abu Libdeh, European Commissioner Benita Ferrero-Waldner and USAID Administrator Henrietta Fore.
Tony Blair said: “The West Bank economy has actually been growing. Despite
all the problems, there are Palestinian businesspeople doing business and making
money in Palestine.”
The event was one of a series of promotional events for PIC-Palestine. Together
with the Palestinian Prime Minister Salam Fayyad, Tony Blair has been doing
roadshows in Dubai and Abu Dhabi, attracting over 400 Arab business people.
Prime Minister Salam Fayyad said: “Unless we get the private sector interested in investing in Palestine, we won't get sustainable development. [There is] a vibrant and resilient private sector in Palestine, that operates in a highly uncertain environment. It is possible to make money in Palestine. We have an open economy, no price controls, no heavy-handed business regulation.”
The objective of the event was to promote economic development in the OPTs by raising the profile and credibility of the PIC-Palestine. Around 200 people attended and the high level of interest and support for the event was remarkable. Private sector investment flows are needed alongside the donor flows pledged at the Paris conference. DFID worked closely with UKTI, the Confederation of British Industry, the Middle East Association and the Arab-British Chamber of Commerce to organise the event.
Preparations for the PIC-Palestine 21-23 May are going well and the 1 May event bodes very well for its success. The UK, France, the US are leading partners while international companies such as Intel and Cisco are sponsors. DFID has supported Palestinian firms to prepare investment proposals and market analysis, and helped fund the organisation of the conference.