Weekly losses of transportation sector in Palestine hit $11 million

PNN/ Ramallah/

The Palestinian Central Bureau of Statistics and the Ministry of Transport in a joint press release said that in the aftermath of the state of emergency declared since the date of 3/25/2020 due to the Corona pandemic, which completely prevented public transport vehicles for passengers from traveling between governorates and between the centers of cities and towns and villages affiliated to it has caused losses  estimated at about 11 million USD.

According to the press release, the direct losses due to the stop of transpiration was estimated at 4 million USD per week. As for the  indirect transportation activities, such as selling spare parts, renting vehicles, maintenance and repair of vehicles, the losses amounted to about 7 million USD per week.

The transportation sector is one of the tributaries of the Palestinian economy

The transportation sector in Palestine constitutes 1.7% of the GDP, with an added value of $ 286 million for the year 2019, with a growth rate of 18% for the year 2018, and the added value of the transport and communications sector consists of two main components, namely the transportation sector within the facilities, which includes transportation Land for passengers and goods belonging to establishments with a fixed address, and transport outside the establishments, which includes land transport for passengers and goods belonging to individuals and not for a firm with a fixed address, and the unit of economic activity within the transport sector within the establishments is the “establishment” where the number of establishments in the transport sector reached 756 establishments, The “vehicle” is considered the unit of economic activity within the transportation sector outside the establishments, as the number of operating vehicles reached 10,979 vehicles.

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About 51% of the contribution of the transport sector outside the establishments out of the total added value of the transportation sector in Palestine

The percentage of the sector’s contribution outside the establishments reached 51% of the total added value of the transport and communications sector in Palestine for the year 2019, while the percentage of the sector’s contribution inside the establishments reached 49% for the same year, and this indicates the importance of the two sectors and their converging impact on the contribution of the transportation sector in general in the local product Total.

The transportation sector outside the establishments occupies about 67% of the total workers in the transportation sector in Palestine

The number of workers in the transport and communications sector for the year 2019 in Palestine reached 17,413 workers, of whom 11,587 workers in the transport sector outside the establishments with an operating rate of 67% of the total workers in the transport and communications sector and 5,826 workers in the transport sector inside the facilities with an operating rate of 33% Workers in the transportation sector.

A decrease in the added value of the transportation sector (outside of facilities) in 2019 by 4.6%

The results of the Outside Establishments Transport Survey 2019 showed that the added value of the out-of-transport sector in Palestine amounted to $ 145 million, including $ 131 million in the West Bank and $ 14 million in the Gaza Strip, where the share of public passenger vehicles reached 95% of the added value, While the share of land transport vehicles for goods reached 3%, while for private passenger vehicles, their share of value added was 2%.

The results of the transportation survey outside the establishments 2019 also showed that the number of vehicles operating in this sector reached 10,979 vehicles in Palestine, of which 8,367 vehicles in the West Bank and 2,612 vehicles in the Gaza Strip, and the number of workers in the transport sector outside the facilities in Palestine reached 11,587 workers, including 8,873 A worker in the West Bank, and 2,714 workers in the Gaza Strip. The value of the total compensation of wage workers to the transport sector outside the establishments in Palestine was 41 million US dollars, including 38 million US dollars in the West Bank and 3 million US dollars in the Gaza Strip.

When comparing the main results for the year 2019 with the results of the year 2018 for the most important economic indicators, it is noted that there is a decrease in the number of vehicles by 3% and a decrease in the number of employees by 9%, due to the decrease in the number of vehicles affiliated with taxi offices within the category of public transport vehicles in the West Bank As the total number of vehicles decreased in the West Bank by 4%, which led to a decrease at the level of Palestine in each of the production by 4%, in the intermediate consumption by 4%, and in the added value by 5%.