Activity at the Palestine Securities Exchange (PSE) receded as political tensions mounted once again, despite last week’s efforts to reinitiate peace talks between the Israelis and Palestinians. All in all 0.6 million shares, worth approximately 0.69 million Jordanian dinars, changed hands as the Al-Quds Index declined three percent to 190.39, reported Atlas Investment Group, a Jordan-based research firm.
The Arab Palestinian Shopping Centers (PLAZA) captured 50 percent of this week’s trading volume as the company announced the opening of the children’s’ play area called Jawwal Land. The indoor recreation facility was a joint effort between PLAZA and the Palestine Cellular Communications Co. (Jawwal). The stock, however, retracted two percent to JD1.00.
The Palestine Development and Investment Co. (PADICO) shed four percent to close at $1.00 while the Palestine Telecommunications Co. (PALTEL) fell three percent to JD3.29. The Jerusalem Cigarette Co. (JCC) was the biggest decliner, dropping five percent to JD3.27.
Gaza Ahliea Insurance (GAIC) was the only advancer this week, climbing two percent to $1.93 as only 1,500 of its shares traded.
Meanwhile, a recent report published by the World Bank pointed out that all Palestinian economic indicators have further regressed during the second year of the Israeli closure. Gross National Income slipped 36 percent in 2002 while income per capita fell by 41 percent while more than 60 percent of the population now lives below the poverty line.
Imports and exports shrunk by a third from the start of the blockades in September 2000 and investment dwindled to $130 million in 2002 versus their $1.45 billion level in 1999. Material damage has also played a factor as the bill grew by almost two fold from $305 million in 2001 to $930 million at the end of 2002.
As a consequence of these damages and the diminishing investments, productive assets shrunk by one billion dollars in the period between 1999 and 2002. — (menareport.com)
© 2003 Mena Report (www.menareport.com)
