Economic progress in the West Bank, Gaza and Golan Heights continues to be stifled by restrictions imposed by Israel’s occupation

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Economic progress in the West Bank, Gaza and Golan Heights continues to be stifled by restrictions imposed by Israel’s occupation and its policy of separation, according to a new report by the International Labour Organisation.

An annual report by the ILO on labor conditions in Palestinian and Syrian territories occupied by Israel, has condemned that government’s policies and called on Israel to replace the current security matrix “with a development logic, based on a long-term vision of the economic, employment and human security interests of all the women and men in the region.”

The report states that despite some improvements in the movement of people, labor conditions remain poor, adding that there can be no meaningful change “unless the restrictions imposed by the Israeli occupation, and the occupation itself, are removed.”

Settlements were reported to be the primary reason behind the confiscation of land, and also the main cause of restrictions in access and movement, territorial fragmentation, and the depletion of natural resources, the report added.

The report, based on the findings of a mission sent to the region earlier this year, also notes that economic growth has been uneven as a result of the blockade of Gaza, with unemployment in the Strip easing only slightly to 23.7 percent in 2010 with youth unemployment remaining extremely high at 39 percent.

It also notes that four-fifths of the Gaza population depend on humanitarian aid, with the tunnel economy a principal driver of economic activity.

The report adds that all parties “have to come to a decision sooner or later on the next steps. The Palestinian economy has reached limits which cannot be surpassed without agreement and action on the two major constraints it faces: occupation and separation. Palestinian State-building should not be stifled and allowed to run out into frustration and discontent.”

The report stresses the importance of capitalizing on the impact of the Arab Spring by listening to the voices of the young Palestinians who have been “calling for unity and an end to occupation.”