The Palestinian Ministry of Communications and Information Technology has officially announced a new national vision to bolster the country’s startup ecosystem by championing entrepreneurs and promoting remote work.
The strategic move aims to create a more supportive environment for innovation and tackle youth unemployment.
The announcement was made by the Ministry’s Undersecretary, Eng. Suhail Madoukh, during the launch of an Entrepreneurs Camp in Gaza. He emphasized the ministry’s commitment to implementing an integrated strategy to support business incubators and foster stronger collaboration between them, stating that collective success is vital for the ecosystem’s growth.
A National Vision For Growth
Eng. Madoukh outlined the Ministry’s plan to create a dynamic and enabling environment for young talent. He highlighted that in an era of intense global competition for tech talent and innovative solutions, it is crucial for nations to cultivate environments that retain skilled youth. The strategy focuses on preventing brain drain and harnessing local talent to drive economic and social development.
The initiative acknowledges the efforts of key academic institutions, including the Islamic University and the University College of Applied Sciences, for their role in incubating creative ideas and expanding opportunities in remote work.
Tackling Unemployment Through Tech
The new government focus comes as a direct response to rising unemployment rates among Palestinian youth, particularly in Gaza. With traditional public and private sectors facing saturation, the Ministry views tech entrepreneurship as a powerful and effective solution.
Eng. Madoukh pointed to the immense potential of the global ICT market, which is valued at approximately $3.8 trillion. He stressed the importance of leveraging advancements in information technology, increased internet speeds, and global digital transformation trends to create new opportunities. Small and medium-sized enterprises (SMEs) in the tech sector are seen as a key driver for job creation, offering innovative solutions to societal challenges and significantly contributing to the national economy.
New Protocols and Financial Incentives
To translate this vision into action, the Ministry has already initiated several key measures. A significant step is a cooperation protocol signed with the Ministry of National Economy to activate the National Strategy for Business Incubators. This protocol aims to streamline the registration process for new startups, encourage the procurement of products from local SMEs, and facilitate their participation in local and international exhibitions.
Furthermore, an agreement has been reached with the General Authority for Investment Promotion to improve access to finance for entrepreneurs. Key enhancements include:
- Extending the loan repayment period from 36 to 48 months, including a six-month grace period.
- Increasing the maximum financing limit from $10,000 to $20,000 for projects registered with two co-beneficiaries.
- Providing technical assistance to entrepreneurs in preparing feasibility studies for their projects.
About The Ministry of Communications and Information Technology
The Ministry of Communications and Information Technology of Palestine is the government body responsible for regulating and developing the telecommunications and IT sectors in the country. Its mission is to create a robust digital infrastructure, foster innovation, and support the growth of a knowledge-based economy that benefits all citizens.
Source: Al-Ray
