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European Neighbourhood Policy and Enlargement Negotiations
News article4 July 2018Directorate-General for Neighbourhood and Enlargement Negotiations

EU-Palestine partnership: a new Investment Plan to strengthen economy and boost job creation

The EU launched today the EU External Investment Plan (EIP) in Palestine to foster economic development and boost private investment. A sustainable economy in the West Bank and Gaza is a key factor to grant stability and create perspectives for the...

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The EU launched today the EU External Investment Plan (EIP) in Palestine to foster economic development and boost private investment. A sustainable economy in the West Bank and Gaza is a key factor to grant stability and create perspectives for the Palestinian population. Challenges such as restrictions to movements of goods and people, a growing working age population, high unemployment, political instability and an increasing demand for energy put a brake on the business environment and discourage foreign investors. The European Union, which is already the largest supporter of Palestinians, has adopted development programmes under the EIP, worth €23.5 million, to enhance economic growth and create a more business-friendly environment. The available budget will be used to ensure efficient energy consumption as well as affordable and reliable energy production in Palestine. It will also support Small and Medium-sized enterprises (SMEs) with advisory services and by reimbursing a share of the total costs of services. Finally, EU funding will contribute to broadening the range of financial services available for Micro, Small and Medium-sized enterprises, particularly in Gaza. The package was announced today at an EIP launch event in Ramallah. More information will be available here.