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$5,085 million international investment balance for Palestine


Ramallah – Ma’an – The Central Bureau of Statistics and the Monetary Authority said that the disparity between the stocks of investments in the Palestinian economy invested outside Palestine, and the stocks of foreign investments invested in the Palestinian economy is still large, with a value amounting to 5,085 million dollars.

According to the preliminary results report on the international investment position and external debt of Palestine at the end of the first quarter of the year 2024 issued today, Monday, 59% of the total balances of external assets of the Palestinian economy are currency and deposits at the end of the first quarter of 2024, due to the absence of a Palestinian national currency and the rise in dues on debts. Israel’s clearing funds increased by about 12% over the previous quarter.

The results indicated that the total stocks of the Palestinian economy’s assets invested abroad amounted to $11,018 million, distributed between foreign direct investment by 3%, portfolio investments by abo
ut 15%, other investments (the most important of which are currency and deposits) by about 71%, and reserve assets by 11%.

The total balances of foreign liabilities (commitments) on the Palestinian economy (stocks of non-residents invested in Palestine) amounted to about 5,933 million dollars, distributed between direct foreign investment at a rate of 53%, portfolio investments at about 11%, and other investments (the most important of which are loans and deposits from abroad) at about 36%. %.

Preliminary results indicated that the total balance of external debt on the Palestinian economic sectors amounted to about 2,156 million dollars at the end of the first quarter of this year, an increase of 1% compared to the previous quarter, distributed between debt on the government sector by 61%, and the banking sector by 36%. % (deposits of non-residents in banks operating in Palestine, external balances and bank loans), other sectors (non-banking financial companies, non-financial companies, civil society instit
utions, and households) by 2%, and borrowing between affiliated subsidiaries by 1%.

It is noteworthy that the International Investment Position represents a record of the investment stocks of residents of Palestine (individuals, companies, and government) invested abroad under the name (assets) on the one hand, and the investment stocks owned by residents outside Palestine (individuals, companies, and governments) invested in Palestine under the name (liabilities) on the one hand. Other. These assets and liabilities are divided (based on the ‘Guide for Preparing the Balance of Payments,’ fifth edition, issued by the International Monetary Fund in 1993) into direct investment (investment of 10% or more of the capital of a non-resident institution), and portfolio investments (investment of less than 10% of the capital of a non-resident institution). non-resident enterprise plus investment in bonds), other investments (balances of trade credits, loans, currency, deposits and any other assets or liabilities), pl
us reserve assets defined as balances held by central banks/monetary authorities to address imbalances in the balance of payments , which falls within the assets side only.

As for external debt, it represents a record of debt balances owed by sectors of the Palestinian economy to non-residents, including loans from non-residents, deposits of non-residents placed in the banking sector in Palestine, Palestinian bonds purchased by non-residents, and debt transactions that take place between non-resident companies. And those affiliated and affiliated in Palestine, and any other obligations on the Palestinian economy other than those mentioned. External debt data is obtained by liabilities in the International Investment Position System (debt items), based on the External Debt Statistics Guide issued by the International Monetary Fund in 2003, It is compatible with the Balance of Payments Manual, fifth edition.

Source: Maan News Agency