On
Gaza, IMF
Tells ICP That
PA Needs Help,
Israel GDP
Down 0.2%
By
Matthew
Russell Lee
UNITED
NATIONS, July
24 -- With no
ceasefire yet
in Gaza,
Inner City
Press
on July 24
asked the
International
Monetary Fund
for its
estimate of
the economic
impact of the
conflict in
both Gaza and
Israel,
including
specifically
with the FAA
and now Delta
and other
airlines'
decisions on
access to Ben
Gurion
Airport.
IMF
Deputy
Spokesperson
William Murray
read out Inner
City Press'
Gaza
question (and
others from
Inner City
Press on
Ukraine and
Liberia) at
the IMF's
embargoed
briefing on
July 24. On
Gaza, the
IMF's Murray
answered Inner
City Press:
“With
the conflict
ongoing, it is
too soon to
make an
accurate
assessment
of the impact,
which will
depend on the
conflict's
duration.
Post-conflict
reconstruction
poses risk to
Palestinian
Authority
finances
absent
additional
donor
financing. The
Palestinian
Authority
does not have
fiscal room to
take on this
additional
burden.”
On
Israel,
after noting
that he saw
news of
renewed access
to Ben Gurion
Airport,
Murray
answered Inner
City Press:
“As
for Israel,
Israel
financial
market have
remained
stable, with
shekel
steadily
appreciating,
the Tel Aviv
100 has been
little
changed in
past two
weeks. The
cost of the
conflict of
past two
weeks, point
two percent of
GDP... The
impact on
economic
activity,
tourism and
SMEs in
southern
Israel has
already been
felt. A
further
deceleration
of GDP growth
could be
likely in 3d
quarter. Once
conflict ends
we expect
growth in
Israel to
rebound
relative
quickly.”
A
tale of two
economies, you
might call it.
Murray added
that the IMF
Executive
Board will be
off from
August 4 to
15, and that
the IMF's
next briefing
will be on
August 28.
Watch this
site.
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