Palestinian Umbrella for Resilience Support to the Economy (PURSE)

The second annual Partnership Council meeting of the PURSE MDTF and its associated trust funds, ESPERE I and II, was held on December 14, 2023. The meeting was attended by representatives of PURSE and ESPERE donors, the Palestinian Authority, and the World Bank. Participants discussed recent progress and updates and endorsed the work plan and budget for the 2024 financial year.

Norway pledged an additional 148 million Krone, equivalent to US$14.2 million, to the PURSE MDTF. These funds will be used to provide budget support to the PA, and finance human capital and service delivery activities.

The West Bank and Gaza Climate Change and Development Report (CCDR) was launched during COP-28. The CCDR is a flagship World Bank diagnostic report which was co-financed by PURSE MDTF. The report integrates climate change and development considerations: it analyses the expected impact of climate change on the Palestinian economy and includes specific policy recommendations on how to maximize development outcomes and climate action gains. To find out more, watch this video.

France and Norway have made additional pledges of support for the PURSE MDTF. On August 12, France pledged EUR 8 million, equivalent to US$8.6 million; on September 12, Norway pledged NOK 85 million, equivalent to US$7.9 million. These funds will provide budget support for the PA, and will thereby contribute to efforts to strengthen the effectiveness of public procurement, strengthen the integrity of the financial sector, and pursue digital transformation.

The EU has pledged EUR 7.5 million to a new Associated Trust Fund to PURSE, the EU Support for the Palestinian Economy and Resilience (ESPERE) II. These funds will be used to strengthen sustainable recovery, economic reform and social resilience in the WB&G by enhancing private sector growth, economic opportunities, and the business environment.

The Norwegian Government has contributed 100 million Norwegian Krone for budget support to the Palestinian Authority. This budget support operation will strengthen the effectiveness of public procurement, strengthen the integrity of the financial sector, and pursue digital transformation.

A series of PURSE Deep Dive meetings were hosted by the World Bank. The deep dives gave current and potential development partners the opportunity to learn more about the activities of PURSE and engage in a productive two-way discussion.

The World Bank channeled US$22.5 million in budget support to the Palestinian Authority through the PURSE MDTF; the funds were contributed by Norway and France. This budget support operation will support the Palestinian Authority’s reform program in strengthening transparency, inclusion, and the green economy in the West Bank and Gaza. 

EU Contributes EUR 9 Million to Support Palestinian Economic and Social Resilience through World Bank Trust Fund

The EU Commission's Directorate-General for Neighbourhood & Enlargement Negotiations (DG NEAR) has reaffirmed its longstanding cooperation with the World Bank to strengthen Palestinian economic reform, social resilience, and sustainable recovery. To help achieve these objectives, the EU is contributing EUR 9 million to a dedicated Trust Fund. The EU Support for the Palestinian Economy and Resilience (ESPERE) is an associated trust fund to the Palestinian Umbrella for Resilience Support to the Economy (PURSE) Multi-Donor Trust Fund, both of which are administered by the World Bank. This contribution will specifically support the Palestinian business environment, help unlock private investments, and strengthen digital entrepreneurship in the Palestinian territories. This joint engagement through this Single Donor Trust Fund is expected to serve as a pilot for possible further collaboration across other areas in the West Bank and Gaza, and potential cooperation with the World Bank in other MENA countries and at the regional level.

Watch an interview with Henrike Trautmann, Acting Director for Neighbourhood South and Turkey, DG NEAR, European Commission: HERE

Switzerland joined the PURSE MDTF with an amount of EUR 6.2 million, equivalent to US$6.3 million. This is the first Swiss contribution to PURSE, and it will be used to finance activities in support of the private sector development and job generation under Pillar 3.

The PURSE MDTF held its first Partnership Council (PC) meeting on June 14. The Meeting was chaired by Kanthan Shankar, World Bank Country Director for the WB&G, and included participants from current PURSE donors Norway and France, as well as Switzerland as an incoming donor. Sweden and the EU attended the PC meeting as observers, and expressed their interests in PURSE. The meeting discussed key results and updates as well as strategic directions for the MDTF, and endorsed the work program and budget for FY23.

Norway contributed an additional total amount of NOK 107 million, equivalent to US$11 million. The funds will support priority activities in both Pillar 1 (Macro-fiscal Stability and Public Financial Management) and Pillar 4 (Social Protection for the Poor and At-risk Population), as well as the Bank-executed Advisory Services and Analytics (ASA) activities.

The French Ministry of Economy and Finance joined the PURSE MDTF with an amount of EUR 8 million, equivalent to US$8.1 million.  This is France’s first contribution to the fund that will support the PA in building the foundations of a digital economy, strengthening resilience, and supporting governance through DPG 11 under Pillar I (Macro-fiscal Stability and Public Financial Management).   

Norway became the first development partner to join the PURSE MDTF.  Norway made a contribution of NOK 100 million, equivalent to US$10 million. The contribution was made to help build the foundations of a digital economy, strengthen resilience, and support governance through DPG 11 under Pillar I (Macro-fiscal Stability and Public Financial Management).