More recently, statements from the World Bank appeared in the media. World Bank CEOs call on Israel to remove telecommunications and internet services restrictions in the occupied West Bank and Gaza Strip. This step is necessary to stimulate the digital economy of Palestine.
In addition, it will help to solve the problem of growing unemployment in the region why the world bank urges Israel to lift the curbs on the Palestinian mobile network.
Economic Link With The Palestinian Mobile Network
According to the Statista website, in May 2021, the average revenue per paying user with carrier billing in the Palestinian territories was about $29.2. Operator billing is a popular way to pay for digital purchases through mobile devices, especially mobile games and in-game content.
The Palestinian digital economy has not yet fully realized its potential. Today, investing in the ICT sector is critical, especially during the Covid-19 crisis when many local businesses have gone online.
Digital Transformation Data Of The West Bank
The Mena Tech Digital Economy Index from the World Bank shows that the digital transformation of the West Bank and Gaza is relatively slow due to Israeli restrictions on digital access.
This figure for the biggest bank in the world has been even lower than the average for other Arab countries in recent years. According to the Global ICT Development Index, the West Bank and Gaza lag behind the average developing country’s broadband penetration.
That is why investment in the digital economy of Palestine is significant today. Such steps will enable the people of Palestine to enter world markets and get jobs and, accordingly, better wages.
The Palestine Digital Economy Assessment assesses the state of the digital economy, identifies opportunities, and recommends reforms that can help accelerate digital transformation and, ultimately, economic growth – Worldbank
The World Bank Group notes that to strengthen the Palestinian digital economy, it is necessary to coordinate with the Israeli government and remove the current restrictions.
The multilateral lender also called on the Palestinian Authority (PA) to undertake domestic policy reforms and invest financial resources for a complete digital transformation of the economy.
Digital Economy Revolution Starting In Palestine
Experts are confident that the Palestinians have the opportunity to leap into the digital economy. These digital transformations in the economy are bringing revolutions. And this groth is taking the digital marketing trend on a lead role.
For the past ten years, the Palestinian economy has been dominated by the cash base transitions. But especially after the pandemic, digital trends are making huge changes in the economy.
The World Bank proposes to Palestine to create an opportunity to stimulate competition in the market and draft a new law on electronic transactions.
Moreover, for such a digital reform to go faster and more smoothly, creating
A committee for digital development is recommended. Such a committee would help ensure institutional coordination and resource mobilization for priority sectors.
Related Resource: What Industries Benefit From Open Banking
E-commerce Sales Growing Demand In Palestinian Economy
Cash and checks still dominate the Palestinian economy. But e-commerce sales continue to be driven primarily by cash on delivery. You know what is the world bank but how the eCommerce sales are growing the demand in the Palestinian economy?
According to the World Bank, the digital transformation will also require upskilling Palestinians and supporting the growth of digital businesses.
Digital businesses can also create new jobs in Palestine, of which 26.4%, or about one in four, were unemployed in the second quarter of 2021. The unemployment rate was 16.9% in the West Bank and 44.7% in Gaza.
“Facilitating the growth of the digital business will require support programs to expand international market coverage, empower support organizations [such as incubators and venture capital funds], and increase access to finance,” the World Bank said in a statement.
Today, more than ever, Palestine needs the support of any software development company that opens its work in the country.
Conclusion:
We all know how big the world bank is. So there is no doubt when they are taking the steps for economic growth, these are more accurate steps. The Palestinian economy is growing.
And this is the right time when digital trends are taking a leap and making progress. So walking the new path is a great initiation that is taken by the World bank.
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