Stagnation or Revival? Palestinian Economic Prospects
The Palestinian Authority (PA) continues to experience a severe fiscal crisis, which threatens to become protracted given recent and projected declines in donor assistance. The PA is making a concerted effort to strengthen its fiscal position, incl...
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| Language: | English |
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Washington, DC
2012
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| Online Access: | http://documents.worldbank.org/curated/en/2012/03/15987169/stagnation-or-revival-palestinian-economic-prospects http://hdl.handle.net/10986/10843 |
| Summary: | The Palestinian Authority (PA) continues
to experience a severe fiscal crisis, which threatens to
become protracted given recent and projected declines in
donor assistance. The PA is making a concerted effort to
strengthen its fiscal position, including taking steps to
raise domestic revenues and control expenditures. However,
these efforts will not be successful unless they are
supported by concrete and known actions of the Government of
Israel, such as the sharing of relevant tax information on
Palestinian revenues. In addition, in the short-term it is
imperative that additional donor funding be identified as
the PA simply cannot take enough steps to reduce the
projected recurrent deficit to the currently expected level
of aid. A continuation of the current trend of reduction in
donor aid would likely aggravate the Palestinian fiscal
crisis, potentially jeopardizing gains made in recent years
in institution-building. |
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