Occupation obstacle to Palestinian economic growth

The Ad Hoc Liaison Committee (AHLC), a donor coordination group for the Palestinian people, began a meeting here Tuesday to discuss ways to help the Palestinian Authority overcome its financial crisis. “Israeli restrictions on Palestinian economic activities have not been lifted to allow Palestinians build a sustainable economy. The Israeli occupation remains the main obstacle to progress,” Espen Barth EIDE, Norwegian Foreign Minister and Chair of the AHLC, told a press conference ahead of the one-day meeting, reported the Kuwaiti news agency KUNA. Eide said he will call on fellow donors to show their commitment to a two- state solution by maintaining the level of support in order to prepare for the economic independence of the Palestinians. The meeting will address several aspects of the financial crisis facing the Palestinian Authority, he said, and added that the PA was expected to show discipline on its spending and continue its reforms. For her part, EU High Representative Catherine Ashton host of the meeting told the joint press conference that the EU will continue to be instrumental in state building efforts of the Palestinians,” she stressed and added that the EU will maintain the same amount of financial aid to the PA as last year of 300 million euro.