Palestine/West Bank

The second Palestine Donor Group met in Brussels on 13 July to review PA reforms and its financing needs, including EU support through the PEGASE mechanism. It also launched a 'Team Gaza Initiative' to coordinate European and international funding for early recovery. Donor money, not private FDI, remains the main source of new capital, and contractors and suppliers are most likely to find work in donor-funded procurement.

European Commission (DG MENA) · 2026-07-13

UNSCO reports that the main reconstruction funds (the UN Horizon Fund, the EU Team Gaza Initiative and the World Bank's Palestinian Fund for Reconstruction and Development) have not yet produced early recovery at scale. It also says goods entering Gaza, including from the West Bank, are costly, unpredictable and well below required volumes. No significant private foreign investment deals or approvals were found for the period, so reconstruction-led opportunities remain largely potential.

UN Office of the Special Coordinator (UNSCO), Report to the AHLC, September 2026 · 2026-09-25

On 8 September the UK and France, backed by Canada and nine EU member states, announced trade restrictions on goods from Israeli settlements. Firms with supply chains running through the West Bank should check where inputs and products originate, because settlement-linked goods now face more legal and reputational risk in those markets.

Steptoe, Stepwise Risk Outlook · 2026-09-08

The US State Department's 2026 Investment Climate Statement says Israel does not recognise the PA's trade agreements with the EU, EFTA, Canada and Türkiye, so they cannot be implemented, although West Bank and Gaza goods remain eligible under the US-Israel FTA. It also says the Israeli waivers that let Israeli banks work with Palestinian banks, which shekel clearing and trade depend on, were only renewed in short increments through late 2025. Entrants cannot count on preferential market access and should plan around the risk of disruption to correspondent banking.

U.S. Department of State, 2026 Investment Climate Statements: West Bank and Gaza · 2026-09-28

The UN Special Coordinator's September report to the Ad Hoc Liaison Committee (AHLC) says Israel is still withholding about USD 6 billion in clearance revenues, the PA's largest source of income, and that spending cuts, domestic revenue measures and donor aid together cannot close the gap. For entrants, this means the PA and public-sector buyers will keep paying late or in part, and public services will stay under strain.

UN Office of the Special Coordinator (UNSCO), Report to the AHLC, September 2026 · 2026-09-25

A September policy brief estimates that the PA owes about USD 15 billion to Palestinian banks, suppliers, contractors, employees and its pension fund. It also says Palestinian banks still cannot convert shekel cash in their vaults into usable electronic balances. Firms should plan for tight liquidity, banks heavily exposed to the PA, and trouble collecting and repatriating shekel cash.

J Street, The Post–October 7 Status of the West Bank Economy · 2026-09-22

The Knesset dissolved on 17 July, setting up Israeli elections on 27 October 2026. The outcome will shape Israeli policy on clearance revenues, work permits, banking waivers and settlements, all of which affect West Bank operating conditions.

Library of Congress, In Custodia Legis · 2026-07-17

Amnesty International reports that in July the Israeli military signed at least 15 land-confiscation orders covering about 20 hectares in Areas A and C of Jenin governorate, which links two planned settlements. Three new settlements were inaugurated in early September. Seizures inside PA-administered Area A weaken the assumption that land, licences and assets under PA jurisdiction are secure, so property and site due diligence now carries more risk.

Amnesty International; Foundation for Middle East Peace · 2026-09-03

On 13 August the UN human rights office said settlers had besieged Palestinian families in Qusra, south of Nablus, cutting their power and water, and that Israeli forces had blocked medics and journalists from reaching them. Settler violence in rural areas is a growing risk to staff safety, logistics and agricultural supply chains.

UN News (OHCHR) · 2026-08-13