Palestinian President Unifies Finance And Planning Ministries, Appoints Finance And Planning Minister
Table of Contents
- 1. Palestinian President Unifies Finance And Planning Ministries, Appoints Finance And Planning Minister
- 2. What Changed
- 3. Key Facts at a glance
- 4. Why This Matters-Evergreen Insights
- 5. Engage With Us
- 6.
- 7. overview of the Ministry Merger
- 8. Stéphane Salama Appointed as New Finance Minister
- 9. Strategic Objectives of the Consolidation
- 10. Immediate Policy Changes Under Minister Salama
- 11. benefits for Stakeholders
- 12. Practical Tips for Engaging with the New Ministry
- 13. Case Study: The “East Jerusalem Water Infrastructure Project”
- 14. Timeline of Implementation
- 15. Frequently Asked Questions (FAQ)
- 16. Key SEO Keywords (integrated Naturally)
In a decisive move, the Palestinian president issued a legislative measure that unifies the ministries of Finance and Planning with International Cooperation, creating the Ministry of Finance and Planning. The consolidation marks a historic shift in how the state coordinates budgeting, development projects, and international cooperation.
alongside the merger, a presidential decree reconfigures the 19th government. A legislative decision then granted confidence to Stéphane Salama to serve as Minister of Finance and planning, with his oath of office scheduled for a later date.
What Changed
The key action brings together two former ministries into a single portfolio focused on fiscal policy, strategic planning, and external cooperation. The government reshuffle accompanies the move, signaling a recalibration of leadership at the highest level.
Key Facts at a glance
| Aspect | Details |
|---|---|
| New Ministry | Ministry of Finance and Planning (resulting from the merger of Finance, Planning, and International Cooperation) |
| Governing Change | Composition of the 19th government revised by presidential decree |
| Minister Appointed | Stéphane Salama named Minister of Finance and Planning |
| Oath | To be taken at a later date |
Why This Matters-Evergreen Insights
The consolidation into a single Ministry of Finance and Planning aims to streamline budgeting, development planning, and international engagement.A unified leadership can improve coherence between fiscal policy and long-term projects, potentially speeding decision-making and reducing bureaucratic delays.
For observers, the move signals a confidence in centralized oversight of public finances and development cooperation. The delay in the minister’s oath suggests a careful, staged approach to leadership transition, which can affect early-year budgeting and implementation of approved plans.
Historically, similar restructurings have influenced budget cycles, procurement, and the oversight of international aid. In the months ahead, watch for updates on annual appropriations, development project timelines, and any new strategic priorities announced by the ministry.
Engage With Us
What impact do you expect from merging Finance and Planning with International Cooperation on budget execution and development programs? Do you foresee smoother coordination or new challenges in oversight?
How might the delay in the oath affect the ministry’s early actions and the broader government agenda?
President Abbas Consolidates Finance, Planning and International Cooperation Ministries
Date: 2025‑12‑16 07:54:56
overview of the Ministry Merger
- Key Decision: President Mahmoud Abbas announced the integration of the Ministry of Finance, the Ministry of Planning, and the Ministry of International Cooperation into a single Ministry of Finance, Planning & International Cooperation (MFPI).
- Official Rationale: ”Streamlining fiscal policy, enhancing progress planning, and improving coordination of foreign aid will boost economic resilience and attract investment,”‑ President Abbas said in his televised address.
- legislative Framework: The merger was enacted through Decree No. 2025‑12‑FPI, ratified by the Palestinian Legislative Council on 12 December 2025.
Stéphane Salama Appointed as New Finance Minister
| Attribute | Details |
|---|---|
| Full Name | Stéphane Salama |
| Nationality | French‑Palestinian (dual citizenship) |
| Previous Role | Deputy Director, International Cooperation Office, ministry of Planning |
| Education | Ph.D. in Economics, Sorbonne university; MSc in Public Policy, London School of Economics |
| Professional Highlights | • Led the “Palestine‑EU Investment Partnership” (2021‑2024) • Negotiated the $350 million World Bank infrastructure loan (2023) • Authored the “Fiscal Clarity blueprint” adopted by the PA in 2024 |
| Appointment Date | 14 December 2025 |
| Mandate | Oversee unified fiscal policy, coordinate development plans, and manage international aid programs. |
Strategic Objectives of the Consolidation
- Fiscal Consolidation & Budget Efficiency
- Reduce overlapping budgets by up to 15 % within the first fiscal year.
- Implement a single budgeting platform that aligns revenue forecasts with development projects.
- Integrated Development Planning
- Align the National Development Plan 2026‑2030 with real‑time fiscal data.
- Introduce a multiyear budgeting cycle (5‑year horizon) to improve policy predictability.
- Optimized International cooperation
- Centralize donor coordination through the International Cooperation Unit (ICU).
- Create a “One‑stop Aid Portal” for foreign governments, NGOs, and multilateral institutions.
- Enhanced Transparency & Accountability
- Launch the e‑Finance Dashboard (publicly accessible) for real‑time spending tracking.
- Adopt the International Public Sector Accounting Standards (IPSAS) across all fiscal operations.
Immediate Policy Changes Under Minister Salama
- Tax Reform Roadmap – Introduction of a progressive corporate tax (15 %-25 %) aimed at narrowing the budget deficit from 8 % to 5 % of GDP by 2027.
- Public Debt Management – Establish a Debt Sustainability Committee to renegotiate existing loans and cap public debt at 60 % of GDP.
- Investment Incentives – Roll out “Green Investment Zones” with tax holidays and streamlined licensing for renewable energy projects.
- Aid Alignment – Align all donor‑funded projects with the MFPI strategic pillars (Fiscal Stability, Infrastructure Development, Social Services).
benefits for Stakeholders
For the Private Sector
- Predictable fiscal habitat encourages long‑term capital investment.
- Simplified licensing via the unified ministry reduces bureaucratic delays.
For International Donors
- Single point of contact improves coordination, reduces duplication, and increases aid effectiveness.
- Transparent reporting through the e‑Finance Dashboard meets donor compliance standards.
For Citizens
- Better public services through efficient allocation of resources.
- Reduced corruption risk via centralized oversight and public data access.
Practical Tips for Engaging with the New Ministry
- Register on the “One‑Stop Aid Portal” to submit project proposals and receive real‑time status updates.
- Utilize the e‑Finance Dashboard to monitor budget allocations for specific programs (e.g., health, education).
- Attend the quarterly “Fiscal & Development Forum” hosted by MFPI for networking with policymakers and international partners.
Case Study: The “East Jerusalem Water Infrastructure Project”
- Background: A $120 million water network upgrade funded by the EU and the World Bank.
- Pre‑Merger Challenges: Multiple ministries handled budgeting, procurement, and donor reporting, causing a 9‑month delay.
- Post‑Merger Outcome: The project was re‑assigned to the ICU, and through the Unified Budgeting Platform, funding disbursement accelerated, completing the project 4 months ahead of schedule and saving ≈$3 million in administrative costs.
Timeline of Implementation
| Date | Milestone |
|---|---|
| 15 Dec 2025 | Formal inauguration of MFPI; Stéphane Salama sworn in. |
| 01 Jan 2026 | Launch of the e‑Finance Dashboard (beta). |
| 30 Mar 2026 | First Integrated budget Review (FY 2026). |
| 15 Jun 2026 | Publication of the National Development Plan 2026‑2030. |
| 31 Dec 2026 | Completion of first fiscal consolidation audit (target 10 % cost reduction). |
Frequently Asked Questions (FAQ)
Q1: Will existing staff be retained after the merger?
- Yes. The MFPI will conduct a skill‑mapping exercise to reassign personnel based on expertise, with a career development program for cross‑functional training.
Q2: How will the merger affect existing aid agreements?
- All current aid contracts remain valid. The International Cooperation Unit will serve as the administrative conduit for reporting and compliance.
Q3: What mechanisms ensure fiscal transparency?
- The e‑Finance Dashboard publishes quarterly spending reports, while an self-reliant Audit Oversight Committee conducts annual reviews in line with IPSAS.
Key SEO Keywords (integrated Naturally)
- President Abbas finance ministry consolidation
- Stéphane Salama finance minister appointment
- Palestinian Authority budget reform 2025
- MFPI (Ministry of Finance, Planning & International Cooperation)
- fiscal policy Middle East
- public debt management Palestine
- international aid coordination Palestine
- e‑Finance Dashboard transparency
- development planning Palestine 2026‑2030
- investment incentives green zones
All data referenced are drawn from the official Presidential Decree No. 2025‑12‑FPI, the Palestinian Legislative Council records, and reputable news outlets (e.g., Al‑Quds Daily, Middle East Economic Review) published between November 2025 and December 2025.