MSMEs in Palestine; challenges and potential

Abstract

The MSMEs play a significant role in boosting GDP and living standards, encouraging domestic investment, recycling national income and decreasing unemployment rates. Moreover, from the perspective of the individual consumer, MSMEs are particularly well suited to providing products and services that are relevant to the domestic context at reasonable prices. The MSMEs allow for a fast turnover cycle lowering inventory costs, thus creating savings that can be passed on to the customer. It is also regularly argued that MSMEs are a viable mechanism of increasing national exports. Thus, to enhance and support such sector, and to explore the foundation for the establishment and development of such firms within the Palestinian context, it is necessary to explore the various issues and aspects. Thus the Palestine Economic Policy Research Institute implemented this project, which produced fifteen various studies. Out of these studies, eleven papers have been sleeted and incorporated in one volume entitled “MSMEs in Palestine; Challenges and Potential”. The first chapter of this volume is devoted to the framework of the Palestinian economy. The second chapter explores various current challenges and problems facing the MSMEs in Palestine. The third chapter included in this book presents various international experiences in supporting MSMEs, while the fourth and fifth chapters present the legal environment in the Palestinian economy and the related draft law of MSMEs in particular. The sixth chapter is related to improving the Palestinian investment legislation to the advantage of SMEs. The seventh and eight chapters are in regard to the Palestinian MSMEs and international product standards and WTO requirements. The eighth chapter covers irrigated agriculture MSMEs sector in the Palestinian economy. The ninth and tenth chapters are related to marketing and financing aspects respectively