Overview of Palestinian institutional capabilities and development requirements in the health care, agricultural, industrial and educational sectors of the West Bank and Gaza Strip

After a brief discussion of the three types of Palestinian institutions (those founded under Jordanian and in some cases Egyptian jurisdiction before 1967, those created by Palestinians since 1967, and those originating in the international community), and their often politicized nature, the essay explores the problems within each sector, recommends the areas in which USAID should focus its assistance, and identifies Palestinian institutions with the capacity to carry out development projects. (1) Health care in the West Bank and Gaza lags far behind that in Israel or Jordan. Facilities are poorly distributed, with most concentrated in the Ramallah-Jerusalem-Bethlehem corridor. Maqassad and August Victoria hospitals are the cornerstones of Palestinian health care, with many of the remaining hospitals in poor condition. Development efforts should focus on primary health care; establishment of a medical school is not a pressing need. (2) Due to government restrictions and loss of labor, agriculture has been of diminishing importance. The extension programs of the military government virtually disappeared during the Intifada. Development efforts should focus on eliminating discriminatory agricultural restrictions, establishing lending institutions with sufficient capital to sustain development, training more agricultural engineers, and assisting in the international marketing of agricultural products. (3) Because of government restrictions and an unstable investment environment, West Bank and Gaza are among the most under-industrialized areas in the world. Development efforts should emphasize the expansion of credit institutions. (4) Most of the problems in the Palestinian educational sector can be attributed to the vagaries of military rule, and thus can be expected to ease during autonomy. Major needs in the K-12 schools include curriculum reform, teacher training, laboratory resources, and enhancement of physical structures. The university system is good and is not in need of major reform. (Author abstract, modified)