Palestine: United States’ Peace to Prosperity Economic Plan

Viscount Waverley Excerpts

Thursday 18th July 2019 Lords Chamber

[Viscount Waverley (CB)]

My Lords, I reaffirm my declaration as set out in the register. Political horizon and Palestinian support for this economic development plan are both essentials for proper management and supervision of regional donor-funded projects. Both are lacking. Palestinians have given the Kushner plan a thumbs down. The Kerry initiative was considered to have held more credibility, offering a more solid economic approach and identifying the enablers, most of which remain unfulfilled.

The Kushner plan is heavy on infrastructure projects, capacity-building and ideas to entice investors, but light on who will pay, which Government will oversee development and where the land is. The projects listed are old initiatives and ones never executed because of the refusal to grant permission to allow the movement of both people and goods. It calls for a multilateral development bank to oversee distribution of funds for the projects. The architects have failed to recognise that only the Palestinian Government can lead the development of their national economy. No donors will make a significant outlay of funds in an uncertain political environment, particularly with the regular destroying of donor-funded projects.

It should also not be forgotten that the United States and European countries have designated Hamas as a terrorist organisation. The Anti-Terrorism Clarification Act prevents the PLO and the PA accepting economic aid from the US. This therefore excludes the US as a donor. Additionally, EU and Saudi donors expect a political framework with established borders, with the objective of a Palestinian state with a shared capital of Jerusalem.

A possible call by any new Israeli coalition Government for the annexation of Area C, including 62% of the West Bank, which is required for agricultural initiatives and any large-scale infrastructure projects, including for water, wastewater treatment, energy and transportation, would therefore be a further complication. The natural resources necessary for projects include water, quarries, gas, minerals and tourism sites under Israeli control. The plan does not envisage Israel relinquishing its control. Although a major road between Gaza and the West Bank is called for, sovereignty over the corridor is not.

The plan, for the reasons I set out, is dead in the water and falls foul of perceived contrivance through the back door. The pain and dilemma therefore continue.