Israeli Prime Minister Benjamin Netanyahu is set to sign a $400m loan guarantee package with U.K.-based construction company Omnicom Construction to help Palestinian construction companies in the occupied West Bank.
Netanyahu is expected to sign the deal with the British government on Friday, as he prepares to visit the UK for the start of a three-day visit.
Omnicoms partner, the UK-based construction and engineering company IHS Markit, is a major player in the construction sector in the Palestinian territories.
It recently signed a $300m loan to help build a new high-speed rail link between Jerusalem and Tel Aviv.
The UK’s prime minister, Boris Johnson, has also announced an £80m aid package for Palestinian construction firms.
Omricom said in a statement that it will provide up to $400mn of funding to Palestinian construction projects, including up to two years of funding for the Palestinian Authority.
The firm will also work with a number of Palestinian NGOs to improve their business practices and ensure they are not subject to restrictions, the statement said.
Omer Alkassani, director of the Middle East Program at IHS, said the deal was “huge” and would help Palestinian businesses build new infrastructure and to improve living standards.
He said that Palestinians had been in a difficult spot for many years, and that there was a lot of “rebellion and anger”.
IHS is an independent market research company.”
They are going to see a lot better business climate than they did 10 years earlier.”
IHS is an independent market research company.