The PFRD (formerly PURSE MDTF) aims to address the core strategic needs of the Palestinians for a period of 10 years. The key objective of the PFRD is to strengthen sustainable recovery and reconstruction, economic reform and social resilience in the West Bank and Gaza (WB&G). Support is provided in line with the Palestinian Authority (PA) priorities covering governance, macro-fiscal stability, human capital investment, service delivery, infrastructure, private sector development including job generation, protection to the poor and at-risk population and the recovery and reconstruction of Gaza.
Complementarity
The PFRD operates alongside other World Bank Trust Funds in the West Bank and Gaza, including:
The Trust Fund for Gaza and the West Bank (TFGWB), which is the World Bank’s core financing vehicle.
The Palestinian Partnership for Infrastructure Development (PID) MDTF
The PFRD (formerly PURSE) complements the Bank administered Trust Fund for Gaza and the West Bank (TFGWB), established since 1993. Immediately after the Oslo Accords, the TFGWB was established to channel World Bank assistance to the Palestinians. It has been replenished since from the IBRD surplus as the West Bank and Gaza (WB&G) does not have membership of either the IMF or the World Bank and hence cannot access IDA/IBRD funding. The TFGWB received a first transfer of US$50 million in 1993 and has been replenished twenty-three times since for a total allocation of US$1.57billion. It finances grants in the areas of water, energy, urban and local development, social protection, education, health, solid waste management, public sector reform and private sector development.
The Partnership for Infrastructure Development (PID) Multi-Donor Trust Fund (MDTF) aims to improve the coverage, quality, and sustainability of infrastructure in the West Bank and Gaza through financial and technical assistance to the Palestinian Authority for infrastructure development, related capacity building, and institutional development in the water, urban development, and energy sectors. It serves as an integral part of the co-financing channels to support the West Bank and Gaza (WB&G).
The PFRD targets the PA including line ministries and apex and local institutions, private sector actors including firms, entrepreneurs, civil society organizations, the poor and the population at risk. Through the five pillars of the PFRD MDTF—(a) Macro-fiscal Stability and Public Financial Management, (b) Human Capital Investment and Service Delivery (including infrastructure), (c) Private Sector Development and Job Generation, (d) Protection to the Poor and at-risk Population), e) Gaza Recovery and Reconstruction—beneficiaries contribute and benefit from knowledge, policy advice, analytical products, funds to help sustain and improve service delivery, improve the business enabling environment, enhance institutional building, invest in people, generate equal employment opportunities, protect the poor and pilot innovative approaches that are responsive to the very specific needs of women and men in different population groups.
