Israel meets with World Bank reps on disengagement plan

Commercial exports, not exported labor, are to form the basis of the new Palestinian economy.

An Israeli team headed by National Security Council Chairman Giora Eiland and Foreign Ministry Deputy Director-General for Economic Affairs Yossi Gal, met this morning with World Bank representatives, in the framework of contacts with the international community on advancing the disengagement plan.

This was the first meeting between World Bank representatives and the Israeli team, which also included officials from the Finance; Justice; and Industry, Trade and Employment Ministries, as well as from the office of the Coordinator of Government Activities in the Territories.

It was agreed to establish four joint working groups to advance the economic aspects of the plan. The groups will deal with the following issues: trade and crossings, the transfer of Israeli assets in Gaza, the establishment and operation of industrial zones, and the improvement of transportation infrastructure in Judea and Samaria. The four joint working groups are expected to begin work within two weeks.

It was also agreed that a joint working plan would be submitted to conference of donor countries that is due to meet in New York in September.

Israel said it was made clear that the entry of Palestinian workers from Gaza into Israel will stop completely by 2008 and that, at the same time, Palestinian industry would be developed, with increased Palestinian commercial exports - instead of exported labor - forming the basis of the Palestinian economy.

Published by Globes [online] - www.globes.co.il - on Wednesday, July 21, 2004

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