Publication
Omar Shaban Ismail · Al-Monitor · 2013
Al-Monitor 2013 analysis arguing the Palestinian Investment Fund needs governance reform: separating commercial investment from development finance functions, establishing independent professional management, and creating transparent reporting — to prevent becoming either a political slush fund or a passive vehicle.
Al-Monitor 2013 analysis arguing the Palestinian Investment Fund needs governance reform: separating commercial investment from development finance…
Editorial summary — the full article is published by Al-Monitor and cannot be reproduced here. What follows is an account of the subject written afterwards, not the original text.
The Palestinian Investment Fund (PIF), established in 2003 with assets transferred from the PLO, has become one of the largest institutional investors in the Palestinian economy. Yet its governance structure — a board heavily influenced by Palestinian Authority political leadership — creates tensions between its mandate as a commercial investment vehicle and its role as an instrument of Palestinian Authority economic policy. Reform of the PIF requires separating its commercial investment function from its development finance function, establishing independent professional management accountable to a board with majority private sector representation, and creating transparent reporting mechanisms that allow Palestinian citizens and international partners to assess its performance. Without these reforms, the PIF risks becoming either a political slush fund or a passive investment vehicle that fails to catalyze the private sector development that Palestinian economic growth requires.
Topic: Palestinian Economy — Investment fund · reform · transparency — Text © Al-Monitor — archived here with attribution to the source. — Original source