Afternoon Tea in Jerusalem Blog

In addition to my work as a business coach, one of my interests is blogging about life in Israel. This is a country full of contrasts – over eight million citizens living in an area the size of Wales. You can see snow and the lowest place on the globe in the same day. Although surrounded by geopolitical extremes, Israel has achieved a decade of high economic growth. My work brings me in contact with an array of new companies, exciting technologies and dynamic characters. Sitting back with a relaxing cup of strong tea (with milk), you realise just how much there is to appreciate in the Holyland. Large or small operations, private sector or non profit, my clients provide experiences from which others can learn and benefit.

As I have stated on more than one occasion, the Palestinian economy could and deserves to be so much stronger. Yet, in the words of that great political American commentator, Britney Spears, it is a case of “oops, I have done it again“.

Here is what I mean: –

  1. It turns out that Hamas continues to use its resources to invest in a creating a war economy to fight Israel.Weapons are still smuggled into Israel, diverting investments away from social needs.
  2. Israel has just started to allow concrete imports back into Gaza, despite the fear that it will used to build more offensive  tunnels rather than new homes, as conceded by the UN. And while the tunnel economy continues to thrive, Hamas has managed to bulldoze away some of the last vestiges of Christian history in Gaza.
  3. And then there is the question of financial aid …or taxes? We know that the Palestinian economy receives 70% of its funding from overseas. And we know that much of the UNRWA budget is neither transparent nor accountable. But given all that, why does Hamas still need to impose higher taxes on those very people who should be benefitting from such large handouts from Western taxpayers?

Samir Abu Mudallala, an economics professor at Al-Azhar University, echoed Ajala’s assessment. In a March 19 statement to Kofia Press, Mudallala said, “Forcing new taxes on the Gaza Strip is a form of economic piracy and may worsen the current economic situation. It will also deepen the people’s scourges and increase poverty rates and food insecurity.”

Gazans deserve better. It is time for donors to face the truth.

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