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Palestinian Economy Is Booming, Thanks to Foreign Aid

In the lobby, a pair of workers is hanging large portrait photographs of Yasser Arafat and Mahmoud Abbas, while outside a construction scaffolding sits close by the front entrance, but otherwise the West Bank’s first five-star hotel is open for business.

Banners advertising the Palestinian stock exchange’s annual conference in the grand ballroom adorn centerpieces, while smartly dressed women and men in dark business suits mingle over drinks. Indeed, the demand for conference space is so strong that the Ramallah-based Movenpick Hotel began hosting them before weeks before its first guests checked in.

The peace talks with Israel have stalled, and Hamas and Fatah remain at loggerheads over who is the legitimate ruler of the Palestinian areas. But, the economies of the West Bank and Gaza Strip are shrugging off their uncertain political future and booming. Yet, economists warn, the boom is a precarious one. http://www.themedialine.org/news/news_detail.asp?NewsID=30550 [3]