Israeli forces kill two Palestinians in West Bank clash: medical officials

Palestinian mourners attends the funeral of Saad Salah and Aws Salameh in the West Bank city of Jenin, July 12, 2017. REUTERS/Abed Omar Qusini

JENIN, West Bank (Reuters) – Israeli forces killed two Palestinians on Wednesday in a raid on a refugee camp in the occupied West Bank, Palestinian medical officials said, and the Israeli military said its troops had opened fire after coming under attack.

The incident took place before dawn in Jenin refugee camp, and no Israeli casualties were reported.

Israeli forces often carry out searches in the West Bank for suspected militants and weapons manufacturing facilities. .

“During an IDF (Israel Defence Forces) operation in the Jenin refugee camp, Palestinian gunmen opened fire at the forces and assailants hurled explosive devices at the forces,” the military said in a statement.

“In response to the immediate threat, forces shot towards the attackers.”

The Palestinian health ministry said the two Palestinians killed by the troops were aged 21 and 16, and that a third person was shot and wounded in the leg.

Camp residents made no mention of any Palestinian gunfire in their accounts of the raid in which they said rocks were thrown at the troops.

Mohammed Sadee, who lives in the camp, said he witnessed one of the Palestinians being shot.

“The military jeeps were driving in and this martyr was behind them on a motorbike. They shot him … and he fell to the ground,” he said.

(Reporting by Ali Samoudi in Jenin and Jeffrey Heller in Jerusalem; Writing by Jeffrey Heller; Editing by Gareth Jones)

Israel backs Hungary, says financier Soros is a threat

FILE PHOTO: Hungarian government poster portraying financier George Soros and saying "Don't let George Soros have the last laugh" is seen at a tram stop in Budapest, Hungary July 6, 2017. REUTERS/Krisztina Than/File Photo

By Luke Baker

JERUSALEM (Reuters) – Israel’s foreign ministry has issued a statement denouncing U.S. billionaire George Soros, a move that appeared designed to align Israel more closely with Hungary ahead of a visit to Budapest next week by Prime Minister Benjamin Netanyahu.

Soros, a Hungarian-born Jew who has spent a large part of his fortune funding pro-democracy and human rights groups, has repeatedly been targeted by Hungary’s right-wing government, in particular over his support for more open immigration.

In the latest case, Prime Minister Viktor Orban has backed a campaign in which Soros is singled out as an enemy of the state. “Let’s not allow Soros to have the last laugh” say billboards next to a picture of the 86-year-old investor, a campaign that Jewish groups and others say foments anti-Semitism.

Soros, who rarely addresses personal attacks against him, has not commented on the billboards. But Hungarian Jewish groups and Human Rights Watch, an organization partly funded by Soros, have condemned the campaign, saying it “evokes memories of the Nazi posters during the Second World War”.

Many posters have been defaced with anti-Semitic graffiti, including the words “stinking Jew” written in magic marker.

Israel’s ambassador to Hungary issued a statement denouncing the campaign, saying it “evokes sad memories but also sows hatred and fear”, an apparent reference to Hungary’s part in the deportation of 500,000 Jews during the Holocaust.

But hours after the ambassador made his comments over the weekend, Israel’s foreign ministry issued a “clarification” saying that Soros was a legitimate target for criticism.

“In no way was the statement (by the ambassador) meant to delegitimize criticism of George Soros, who continuously undermines Israel’s democratically elected governments,” said foreign ministry spokesman Emmanuel Nahshon, adding that Soros funded organizations “that defame the Jewish state and seek to deny it the right to defend itself”.

A spokesman for Soros’s Open Society Foundations did not immediately respond to a request for comment.

NETANYAHU VISIT

The foreign ministry’s unusual decision to issue a statement clarifying comments by one of its ambassadors comes days before Netanyahu, who also serves as Israel’s foreign minister, is scheduled to visit Orban.

Israel is normally quick to denounce anti-Semitism or threats to Jewish communities anywhere in the world. While it made that point in the statement, it chose to focus on the threat it believes Soros poses to Israeli democracy.

Among the organizations Soros funds is Human Rights Watch, which is frequently critical of Israel’s occupation of the West Bank and its policies toward the Palestinians.

Like Hungary, Israel has passed legislation that seeks to limit the influence of non-governmental organizations that receive a large portion of their funding from abroad.

Israel and Hungary were briefly at odds last month after Orban praised Hungary’s World War Two leader Miklos Horthy, calling him an “exceptional statesman”.

Horthy was an ally of Adolf Hitler who approved anti-Jewish legislation in the 1920s and 1930s and cooperated with the Germans in deporting Hungarian Jews during the Holocaust.

Initially Israel expressed alarm, but then quickly accepted the Hungarian government’s explanation that Orban had zero tolerance for anti-Semitism and was not suggesting everything Horthy did was positive.

The strong ties between Netanyahu and Orban have raised eyebrows in the European Union, where Orban is regarded as an illiberal maverick. His party has curtailed press freedom and stymied EU efforts to tackle the migrant crisis.

Hungary has held discussions with Israel about purchasing security fences to keep migrants out, while Israel has sought better ties with countries that it hopes will take its side in any EU discussions where Israel is criticized.

(Additional reporting by Marton Dunai in Budapest; Writing by Luke Baker; editing by Ralph Boulton)

No evidence of Islamic State link to Jerusalem attack: Israeli police

Israeli policemen secure the scene of the shooting and stabbing attack outside Damascus gate in Jerusalem's old city June 16, 2017. REUTERS/Ammar Awad

By Maayan Lubell

JERUSALEM (Reuters) – Israeli authorities said on Saturday they had found no evidence of Islamic State involvement in attacks by three Palestinians that killed an Israeli policewoman, despite the group’s claim of responsibility.

Palestinian militant factions also denied Islamic State was involved in the attacks in Jerusalem on Friday, in which a second Israeli police officer was wounded.

Islamic State’s claim of responsibility was reported by the group’s Amaq news agency on Friday.

Police spokeswoman Luba Simri said the Israeli military had so far found no connection between the three assailants and any armed group.

“It was a local cell. At this stage no indication has been found it was directed by terrorist organizations nor has any connection to any organization been found,” Simri said.

The SITE intelligence monitoring group said it was the first time Islamic State had claimed responsibility for an attack inside Israeli-controlled territory.

However, a senior official from Hamas, the Islamic group that rules the Gaza Strip, and the People’s Front for the Liberation of Palestine (PFLP) said the three attackers, who were all shot dead at the scene, were their own members.

“The three hero martyrs who executed the Jerusalem operation have no connection to Daesh (Islamic State), they are affiliated with the PFLP and Hamas,” Hamas’ Izzat El-Reshiq wrote on Twitter.

In a separate statement, the PFLP identified two of the three attackers as its members. “The media office of the PFLP armed wing mourns two of its hero comrades, two freed prisoners,” it said.

Israeli police said on Friday all the assailants were from the occupied West Bank. Two of them, both from the area of Ramallah, were aged between 18 and 19 and the third was a 30-year-old from Hebron, Simri said.

The assaults took place simultaneously in two areas near the Damascus gate of Jerusalem’s walled old city.

Two Palestinians were shot dead after opening fire at and trying to stab a group of Israeli police officers, police said. In the second incident, a Palestinian fatally stabbed a border policewoman before being shot dead by police.

A wave of Palestinian street attacks began in October 2015 but has since slowed. Thirty-eight Israelis, two American tourists and a British student have been killed in stabbings, shootings and car-rammings, many of which took place in the vicinity of the Old City’s Damascus gate.

At least 252 Palestinians and one Jordanian citizen have been killed since the violence began. Israel says at least 170 of those killed were carrying out attacks. Others died during clashes and protests.

Israel blames the violence on incitement by the Palestinian leadership.

The Palestinian Authority, which exercises limited self-rule in the West Bank, denies that and says assailants have acted out of desperation over Israeli occupation of land sought by Palestinians for a state.

U.S.-brokered peace talks between the sides broke down in 2014. Palestinians want to establish an independent state in the West Bank, Gaza and East Jerusalem, territories Israel captured in the 1967 Middle East War.

(Reporting by Nidal al-Mughrabi and Maayan Lubell; Editing by Paul Tait and Adrian Croft)

Three Palestinians killed after attacking Israeli officers

Israeli policemen secure the scene of the shooting and stabbing attack outside Damascus gate in Jerusalem's old city June 16, 2017. REUTERS/Ammar Awad

JERUSALEM (Reuters) – Israeli security forces shot dead three Palestinians who carried out shooting and stabbing attacks that critically injured an Israeli border policewoman in Jerusalem on Friday, police said.

The attacks occurred simultaneously in two areas near the Damascus gate of Jerusalem’s walled old city.

At one scene, two Palestinians were shot and killed after opening fire at and trying to stab a group of Israeli police officers, police said. At the other, a Palestinian stabbed a border policewoman, critically wounding her, before being shot dead by police.

A second Israeli officer was also injured in the attacks.

A wave of Palestinian street attacks began in October 2015 but has since slowed. Israel blames the violence on incitement by the Palestinian leadership.

The Palestinian Authority, which exercises limited self-rule in the West Bank, denies that and says assailants have acted out of frustration over Israeli occupation of land sought by Palestinians in peace talks that have been stalled since 2014.

(Reporting by Ari Rabinovitch; Editing by Janet Lawrence)

Israeli panel approves West Bank settlement plan: reports

FILE PHOTO: A rainbow is seen over the Israeli settler outpost of Amona in the occupied West Bank January 31, 2017. REUTERS/Ronen Zvulun/File Photo

By Ori Lewis

JERUSALEM (Reuters) – An Israeli panel approved plans on Tuesday for the first new Jewish settlement in the occupied West Bank in two decades, Israeli media reports said, drawing Palestinian condemnation and defying repeated international appeals to avoid such measures.

If confirmed, the plans, which media said also envisage the construction of some 1,800 other settler homes in the West Bank, are likely to deliver a further serious blow to efforts to revive the moribund Israeli-Palestinian peace process.

A spokeswoman for the military-run Civil Administration in the West Bank of which the panel is a part declined to comment on the reports.

Peace Now, an Israeli anti-settlement group that monitors settlement activity in the West Bank, could not immediately confirm the reports but said the panel was due to discuss further building plans for the occupied territory on Wednesday.

The reported move follows an Israeli government decision in March to build the new settlement, known as Amichai. It will house some 300 settlers evicted in February from another settlement called Amona.

Israel’s Supreme Court ordered the removal of the Amona settlers after ruling that their homes had been built illegally on privately-owned Palestinian land. Prime Minister Benjamin Netanyahu pledged to re-house them at a new site in the West Bank.

According to the media reports, the panel approved plans to build 102 homes at the Amichai site for the Amona settlers. Plans for another 1,800 dwellings in several existing settlements were also ratified, the reports said.

“GREEN LIGHT”

Palestinians, who seek to establish a state in the West Bank and Gaza Strip with East Jerusalem as its capital, reacted angrily to the reports.

“When President (Donald) Trump visited the region, and didn’t mention anything about the settlements, the Israeli government thought that it is a green light to continue expanding settlements against all international laws,” Wassel Abu Yussef, an official of the Palestine Liberation Organization, told Reuters.

The U.S. president did not speak publicly about the settlements during a May 22-23 visit to Jerusalem and the West Bank, though he urged Israeli and Palestinian leaders to “make a deal” for peace that would entail compromise and tough decisions.

At a White House meeting with Netanyahu in February, Trump appeared to catch the Israeli leader off-guard when he urged him to “hold back on settlements for a little bit”.

Most countries view settlements that Israel has built on land captured in the 1967 Middle East war as illegal. Israel disputes that and cites biblical, historical and political links to the West Bank, as well as security interests.

About 400,000 settlers and 2.8 million Palestinians live in the West Bank.

(Writing by Ori Lewis; Editing by Gareth Jones)

Security guard kills Arab-Israeli protester in central Israel: police

A police car, burnt during clashes which erupted in the Arab town of Kafr Qassem, is seen at the entrance to the town in central Israel, early June 6, 2017. REUTERS/Tomer Appelbaum

JERUSALEM (Reuters) – A security guard shot and killed an Arab-Israeli citizen as hundreds of protesters stormed a police station in central Israel overnight and set fire to vehicles, police said on Tuesday.

The violence erupted after police officers in the Arab town of Kafr Qassem attempted to apprehend a suspect wanted for questioning, spokesman Micky Rosenfeld said.

About 50 residents confronted the officers and hurled rocks at them, Rosenfeld added.

Hundreds of residents, some of them masked, later broke through the gates of the local police station and tried to enter the building, he said.

“The security guard at the police station felt his life was in danger and opened fire,” Rosenfeld said.

He said one of the protesters was critically wounded and died in hospital.

Television footage distributed by the police showed rocks strewn along the road and three vehicles on fire.

Kafr Qassem’s mayor, Adel Badir, said the guard had used excessive force. “I don’t understand how the security guard could say he felt his life was in danger if he had police officers with him,” Badir told Army Radio.

Badir said tensions with police have been high in recent weeks, because residents feel officers have been ignoring a rise in violent crime.

(Reporting by Maayan Lubell; Editing by Andrew Heavens)

Trump delays moving U.S. embassy to Jerusalem despite campaign pledge

FILE PHOTO - The front of the U.S. embassy is seen in Tel Aviv, Israel January 20, 2017. REUTERS/Amir Cohen/File Photo

By Matt Spetalnick

WASHINGTON (Reuters) – President Donald Trump signed a temporary order on Thursday to keep the U.S. embassy in Israel in Tel Aviv instead of relocating it to Jerusalem, despite his campaign pledge to go ahead with the controversial move.

After months of fierce debate within his administration, Trump chose to continue his predecessors’ policy of signing a six-month waiver overriding a 1995 law requiring that the embassy be transferred to Jerusalem, an action that would have complicated his efforts to restart Israeli-Palestinian peace talks.

The White House insisted, however, that the decision, which is sure to disappoint Israel’s U.S. supporters, did not mean Trump was abandoning the goal of eventually shifting the embassy to Jerusalem. But a U.S. official said no timetable has been set.

“The question is not if that move happens, but only when,” the White House said in a statement.

With a deadline looming, Trump made the decision to defer action on the embassy “to maximize the chances of successfully negotiating a deal between Israel and the Palestinians, fulfilling his solemn obligation to defend America’s national security interests,” the White House said.

Palestinian leaders, Arab governments and Western allies had urged Trump not to proceed with the embassy relocation, which would have upended decades of U.S. policy by granting what would have been seen as de facto U.S. recognition of Israel’s claim to all of Jerusalem as its capital.

“Though Israel is disappointed that the embassy will not move at this time, we appreciate today’s expression of President Trump’s friendship to Israel and his commitment to moving the embassy in the future,” Israeli Prime Minister Benjamin Netanyahu’s office said in a statement.

Taking a harder stance, Israeli Education Minister Naftali Bennett, a far-right member of Netanyahu’s coalition, said delaying the move would “damage the prospect of a lasting peace by nurturing false expectations among the Palestinians regarding the division of Jerusalem, which will never happen.”

Nabil Abu Rdainah, a close aide to Palestinian President Mahmoud Abbas, said Trump’s decision “reaffirms the seriousness of the United States in its efforts to achieve peace.”

NO MENTION OF EMBASSY

Trump avoided any public mention of a potential embassy move during his visit to Israel and the West Bank in May. Despite that, most experts are skeptical of Trump’s chances for achieving a peace deal that had eluded other U.S. presidents.

The status of Jerusalem is one of the major stumbling blocks. Israel captured Arab East Jerusalem during the 1967 Middle East war and later annexed it, a move not recognized internationally. Israel considers all of the city its indivisible capital.

The Palestinians want East Jerusalem as the capital of their future state. Jerusalem is home to sites considered holy by the Jewish, Muslim and Christian religions.

Successive U.S. administrations have insisted that Jerusalem’s status must be decided in negotiations.

On the campaign trail, Trump’s pro-Israel rhetoric raised expectations that he would act quickly to move the embassy. But after he took office in January, the issue lost momentum as he met Arab leaders who warned it would be hard to rejuvenate long-stalled peace efforts unless he acted as a fair mediator.

Some of Trump’s top aides pushed for him to keep his campaign promise to satisfy the pro-Israel, right-wing base that helped him win the presidency. The State Department, however recommended against an embassy move, one U.S. official said.

“No one should consider this step to be in any way a retreat from the president’s strong support for Israel,” according to the White House statement on the signing of the waiver.

(Additional reporting by Ori Lewis in Jerusalem; Writing by Matt Spetalnick; Editing by Bernadette Baum and James Dalgleish)

Israeli documents from days after war have familiar ring 50 years on

A researcher scans declassified documents for Akevot, an Israeli NGO researching the Israeli-Palestinian conflict, at the Central Zionist Archives in Jerusalem May 10, 2017. Picture taken May 10, 2017. REUTERS/Ronen Zvulun

By Luke Baker

JERUSALEM (Reuters) – Within days of capturing East Jerusalem and the West Bank in the 1967 Middle East war, Israel was examining options about their future ranging from Jewish settlement-building to the creation of a Palestinian state.

As the 50th anniversary of the outbreak of the war nears on June 5, recently unearthed documents detailing the post-war legal and diplomatic debate have a familiar ring, and underline how little progress has been made towards resolving the Israeli-Palestinian conflict.

Akevot, an Israeli NGO researching the conflict, has spent thousands of hours over two years gaining access to declassified, often dog-eared, documents and building a digital record of them.

The group’s aim in obtaining the files, at a time when the Israel State Archives has restricted access to its resources as it conducts its own digitization project, is to ensure that primary sources of conflict decision-making remain accessible to researchers, diplomats, journalists and the wider public.

“One of the things we realized early on was that so many of the policies related to current day Israeli government activities in the occupied territories have roots going back to the very first year of occupation,” said Lior Yavne, founder and director of Akevot.

“Policies that were envisaged very early on, 1967 or 1968, serve government policies to this day.”

In six days of war, Israel’s army seized 5,900 square km (2,280 square miles) of the West Bank, the walled Old City of Jerusalem and more than two dozen Arab villages on the city’s eastern flank.

On other fronts it conquered the Golan Heights from Syria, and Sinai and the Gaza Strip from Egypt.

But for the Israeli prime minister’s office, the foreign ministry and assorted legal advisers, the thorniest questions surrounded how to handle the unexpected seizure of the West Bank and East Jerusalem, and the 660,000 Palestinians living there.

“THE WAR NEVER ENDED”

A little over a month after the war ended on June 10, 1967, senior foreign ministry officials had drafted a set of seven possibilities of what to do with the West Bank and Gaza.

They considered everything from establishing an independent, demilitarized Palestinian state with its capital as close as possible to Jerusalem, to annexing the entire area to Israel or handing most of it over to Jordan.

The authors explained the need to move rapidly because “internationally, the impression that Israel maintains colonial rule over these occupied territories may arise in the interim”.

While the document analyses in detail the idea of an independent Palestinian state, it presents most positively the case for annexation, while also making clear its “inherent dangers”.

Option four, listed as “the graduated solution”, is the one perhaps closest to what exists to this day: a plan to establish a Palestinian state only once there is a peace agreement between Israel and Arab nations.

“The Six-Day War actually never ended,” said Tom Segev, a leading Israeli historian and author of “1967 – Israel, the War, and the Year that Transformed the Middle East”.

“The seventh day has lasted ever since for the last 50 years. And it is affecting both us and the Palestinians … every day, every minute.”

SETTLEMENTS

Perhaps the trickiest and most legally nuanced discussions were around Israel’s responsibilities under international law, and whether it could build settlements.

Palestinians and many countries consider Israel’s settlements on occupied land they seek for a state as illegal. Israel disputes this, citing historical, biblical and political links to the West Bank and East Jerusalem, as well as security considerations.

After the 1967 war, Israel annexed East Jerusalem and considers all of Jerusalem as its “indivisible and eternal capital”, a status that has not won international recognition. Palestinians want East Jerusalem as the capital of a future Palestine.

Nabil Abu Rdainah, a spokesman for Palestinian President Mahmoud Abbas, said Israel has consistently violated U.N. resolutions and the Fourth Geneva Convention in its actions in occupied territory, particularly in Jerusalem.

“All these measures … can’t change the fact that Jerusalem is an occupied city, just like the rest of Palestinian lands,” he said.

Theodor Meron, one of the world’s leading jurists who was then legal adviser to the foreign ministry, wrote several memos in late 1967 and early 1968 laying out his position on settlements.

In a covering letter to one secret memo sent to the prime minister’s political secretary, Meron said: “My conclusion is that civilian settlement in the administered territories contravenes explicit provisions of the Fourth Geneva Convention”.

Meron, who now lives in the United States, set his arguments out over several pages, but they boiled down to the fact that Israel was a signatory to the Geneva Convention which prohibits transferring citizens of an occupying state onto occupied land.

“…any legal arguments that we shall try to find will not counteract the heavy international pressure that will be exerted upon us even by friendly countries which will base themselves on the Fourth Geneva Convention,” he wrote.

The only way he could see settlements being legally justified – and even then he made clear he didn’t favor the argument – was if they were in temporary camps and “carried out by military and not civilian entities”.

While in the early years settlements were militaristic and often temporary, the enterprise now has full government backing, houses some 350,000 civilians in the West Bank and has all the hallmarks of permanence.

Meron declined to respond to specific questions from Reuters.

But in an article this month in the American Journal of International Law, he expressed concern about “the continued march toward an inexorable demographic change in the West Bank” and the appointment by U.S. President Donald Trump’s administration of an ambassador to Israel who has raised funds for settlements.

There is, Meron wrote in the journal, a growing perception in the international community that “individual Palestinians’ human rights, as well as their rights under the Fourth Geneva Convention, are being violated.”

NAMES

Immediately after the war, almost no element of Israel’s land seizure went unexamined, whether by the military, the prime minister’s office, the foreign ministry, naming committees or religious authorities.

In a memo on June 22, 1967, Michael Comay, political adviser to the foreign ministry, wrote to the ministry’s deputy director-general saying they needed to be careful about using phrases like “occupied territories” or “occupying power” because they supported the International Committee of the Red Cross’s view that the local population should have rights under the Fourth Geneva Convention.

“There are two alternatives: Using the term TERRITORIES OF THE MILITARY GOVERNMENT or TERRITORIES UNDER ISRAEL CONTROL,” he wrote. “Externally, I prefer the second option.”

Even now, the government avoids talking about occupation, instead suggesting that the West Bank is “disputed territory”.

(Additional reporting by Rinat Harash in Jerusalem and Ali Sawafta in Ramallah; Writing by Luke Baker; Editing by Jeffrey Heller and Mike Collett-White)

Israel marks 50 years of ‘united Jerusalem’, but city struggles

A crow flies past as Jewish school children gather at a look-out point on the Armon Hanatziv Promenade in Jerusalem May 11, 2017. Picture taken May 11, 2017. REUTERS/Amir Cohen

By Maayan Lubell

JERUSALEM (Reuters) – A half-century after Israel captured East Jerusalem, the holy city remains deeply divided by politics, religion and ethnicity – and struggling with grim economic realities.

A treasure fought over for millenia, it is also one of the poorest ‮areas under Israeli control‬. About 45 percent of Jerusalem’s nearly 900,000 people live below the poverty line, compared with 20 percent of Israel’s national population.

The poorer groups in Jerusalem are the fastest-growing: ultra-Orthodox Jews, or Haredim, who make up a fifth of the population and Palestinians, who comprise more than a third.

Many young, secular and educated Jewish residents are opting to leave, alienated by the religious atmosphere and high living costs, said the Jerusalem Institute for Policy Research (JIIS) think tank.

After the 1967 Middle East war, Israel annexed the Arab east of the city to the Jewish west to create what it regards as its united, eternal capital. Palestinians in East Jerusalem complain of second-class status and official neglect.

“Jerusalem is a city that faces substantial challenges economically and that is partly because of the population that it houses,” said Naomi Hausman, an economics professor at the Hebrew University.

Israel is this week celebrating the 50th anniversary of the capture of East Jerusalem. Its claim to the whole of the city as its indivisible capital has not won international recognition.

Palestinians want East Jerusalem to be the capital of a state they seek to establish in the occupied West Bank and in Gaza.

About 80 percent of Jerusalem’s Palestinians and about half the Haredim live below the poverty line.

Haredi men generally dedicate themselves to religious study and few Palestinian women have jobs.

Only 58 percent of Jerusalem Jews are in employment compared with 64 percent nationally, and just 40 percent of the Palestinian population work, according to Israel’s Central Bureau of Statistics (CBS).

Each year, about 8,000 more people leave Jerusalem than move to the city, according to CBS data, with much of the exodus made up of young Jewish people frustrated by the high cost of living and lack of job opportunities.

Ilana Butrimovitz left San Francisco for Jerusalem but spent barely a year there before moving away.

“I feel more free in Tel Aviv, not to mention the night-life and the beach,” said the 30-year-old chef. “The vibe is better and there are more job opportunities for young people.”

Jerusalem’s light rail line threads its way through the city’s contrasting zones – past Haredi neighbourhoods where men in black garb walk the stone alleyways, by downtown cafes and pubs, alongside the walled Old City and to a sprawling new business quarter.

“It’s a city where everyone knows how to live together in equilibrium on a daily basis. There are also, obviously, divisions and surely the east-west division is the biggest,” said Hausman.

“DEAD END”

Palestinian men are often employed on the bottom rungs of the labour market ladder, according to the JIIS.

“It’s a dead end for us,” said Hussam, a 28-year-old Palestinian lawyer in East Jerusalem. “Plain and simple: no, we do not have the same opportunities as Israelis.”

Israeli businesses are often reluctant to employ Arabs, Hussam said, and some jobs are off limits for Jerusalem’s Palestinians, who do not hold full Israeli citizenship, but are designated “permanent resident”.

Some public sector jobs require full citizenship, and some employers want staff who have served in the Israeli military.

“It fills one with despair, with anger, with frustration,” said Hussam, adding that he planned to leave for Europe.

Residential and business taxes in the city are among Israel’s highest, meaning higher-earning residents are propping up the poorer ones.

“Dynamically, doing this local redistribution is extremely problematic for a city, it can cause the city to attract more and more non-working and low-skill types until the city is in a poverty trap,” Hausman said.

Maya Chosen, senior researcher at the JIIS, said Israeli authorities were finally acknowledging they needed to intervene.

Since 2016, Israel has allocated almost a billion shekels (around $250 million) to a five-year plan to improve the business environment and expand tourism. One goal is to boost the city’s high-tech sector and entice more start-ups to move there.

“They are trying to draw stronger populations, engineers, upper-middle class, to balance the weaker populations in Jerusalem,” said Tzah Berki, senior vice president at Dun & Bradstreet Israel.

Between 2012 and 2015, high-tech investment in Jerusalem more than quadrupled to $243 million, according to the JIIS.

The Palestinians of East Jerusalem say they have seen little of the benefits.

“It’s just not on the radar of East Jerusalem’s residents,” said Nisreen Alyan, head of the Jerusalem Programme at the Association for Civil Rights in Israel (ACRI).

“There is barely a school that teaches IT in East Jerusalem. In terms of location, the companies are inaccessible and most East Jerusalem residents don’t speak Hebrew.” The drop-out rate among high school seniors is 30 percent.

Only 10 percent of the municipality’s budget goes to East Jerusalem, Alyan said.

Jerusalem’s mayor, former high-tech entrepreneur Nir Barkat, does not dispute there is a gap between the west and east. But he says it is a result of a shortage of funds and bureaucratic red tape going back decades to when the east was under Jordanian rule.

“It’s not politics, it’s poor management and we’re catching up,” he told Reuters.

Youssef Qarain, a 73-year-old barber in East Jerusalem, recalls the day when the 1967 war broke out. Fifty years later, he sees little chance of Palestinian prospects improving.

“Simply, when you are under occupation, what can you hope for?” asked Qarain.

(This story has been refiled to fix paragraph two reference to Israeli areas.)

(Additional reporting by Lee Marzel, Sinan Abu Mayzer and Suheir Sheikh; Editing by Luke Baker, Jeffrey Heller and Andrew Roche)