East Jerusalem Development Plan Faces Funding Cuts and Delays

A five-year plan for East Jerusalem, approved in August 2023 with an initial budget of 3.2 billion shekels, has seen significant funding reductions and implementation delays. The plan, intended to run from 2024 to 2028, was meant to address development gaps in the eastern part of the city. However, due to the ongoing war, government budgets have been cut, reducing the investment to approximately 2 billion shekels.

According to research by the Ir Amim association, key steering committees for the plan, including the High Steering Committee, have not convened for the first two years of its implementation. A Knesset discussion revealed that a program aimed at employment for East Jerusalem residents has not been executed due to underutilization of funds, with proposals to redirect the money elsewhere. Furthermore, the construction of new public buildings, a key component of the plan, has not materialized as scheduled. Instead, funds have been diverted to continue developing public buildings designated in a previous five-year plan.

While the plan called for the creation of seven parks in East Jerusalem neighborhoods in cooperation with the municipality, only one, the UN Park, has been established so far. The Jerusalem Municipality stated it received 13.5 million shekels for public buildings and public spaces, though the plan allocated 42.5 million shekels for public buildings alone. The plan also aimed for the construction of approximately 2,000 new housing units annually through urban renewal, but no new units have been built for East Jerusalem residents.

Gal Yanovsky, a researcher at Ir Amim, criticized the lack of progress, stating that the plan's initial promise has faded due to repeated budget cuts. He noted that the Ministry of Jerusalem Affairs and Heritage, responsible for the plan, has not received its allocated budget for some time and has instead pushed to redirect funds away from the plan's objectives. The Ministry of Jerusalem Affairs and Heritage responded that it is centrally managing the plan and that professional teams have approved numerous work plans in education, infrastructure, and transportation since the war began, with committees meeting regularly.

The Jerusalem Municipality added that it is investing significant funds from its own resources into public buildings and public spaces, aligning with municipal goals and addressing on-the-ground needs. They stated that further project advancement is contingent on receiving additional government funding as agreed upon in the steering committee. No response was received from the Ministry of Housing and Urban Renewal.