[Middle East] British treasurer Brown to help lower poverty amongst Palestinians

British Treasurer Gordon Brown announced that he would investigate ways in which to rebuild Palestinian infrastructure, saying that easing Palestinian unemployment and poverty would help bring stability to the Middle East.

The poor state of the Palestinian economy presents a serious challenge to the Palestinian Authority following Israel's withdrawal from the Gaza Strip.

Brown, seen as the most likely successor to British Prime Minister Tony Blair, added that he would make a visit to the region to do so.

He added that he had discussed the matter with the World Bank, and the European Investment Bank, with which he had already outlined proposals for to offer guarantee loans for those wishing to invest in the region.

According to the Guardian, Brown also discussed the matter with the Israeli ministry of finance. Brown told reporters regarding the talks, "I hope we can make a contribution that will recognize that a strong and fair economy can lower the amount of violence and underpin development".

He added that the Palestinian Authority area needed to grow by "10 percent a year for many years if we are going to tackle unemployment and poverty."

Mazen Sinnukrot, the Palestinian Authority's National Economy Minister, hopes to attract around 1.8 to 2.4 billion dollars annually in private investment annually for the first three years after Israel's pullout from Gaza.

The Palestinian Authority plans to privatize all government-owned enterprises beginning in 2006 as part of its economic redevelopment plan. Industries included in the proposed project include the Gaza airport, the national cement and oil companies and a planned Mediterranean port.