UN Blacklist of Businesses Operating in Israeli Territories Doubles

The UN High Commissioner for Human Rights has significantly expanded its database of companies operating in the West Bank and East Jerusalem, referred to in Israel as the "blacklist." The latest update adds 61 companies, bringing the total to 214. Only five companies were removed after proving they ceased operations in these areas, including Spanish infrastructure firm ACS and Portuguese construction company Steconfer.

The updated list includes major Israeli economic players across various sectors. All large Israeli banks, such as Hapoalim, Leumi, Mizrahi Tefahot, Discount, and Jerusalem Bank, are included due to providing credit and financing for businesses and construction. Major retail and food companies like Shufersal, Rami Levy, Tnuva, Angel Bakery, and Cafe Cafe are also listed, as are telecommunications firms Bezeq, Cellcom, Pelephone, HOT, and yes.

Infrastructure, energy, and transportation companies feature prominently, including Shikun & Binui, Netafim, Israel Railways, Delek Group, and Dor Alon. Public transportation operators like Egged, Electra Afikim, Kavim, and Superbus are also named. International companies such as Airbnb, Booking, and TripAdvisor are on the list as well.

While the UN Human Rights Council cannot enforce penalties, the indirect consequences could be severe. Western pension funds and institutional investors adhering to environmental and social governance principles may withdraw investments. Additionally, foreign companies might avoid contracts and partnerships with the listed entities.

The database, established in 2020 and previously updated in 2023, now draws on the July 2024 International Court of Justice advisory opinion urging states to prevent assistance to the Israeli presence in the territories. This update follows recent trade restrictions and bans on settlements imposed by the UK, France, and Canada, and the expanded list could serve as a basis for further measures.

Israel's Foreign Ministry strongly condemned the publication, calling it a "corrupt political mechanism" from a "fundamentally flawed" council biased against Israel. The ministry stated the blacklist "was established solely to harm Israel and has no parallel anywhere else in the world," rejecting it and its underlying assumptions. The ministry also criticized High Commissioner Volker Türk, accusing him of becoming a "commissioner of boycotts against Israel" and asserting that Israeli business activity in the West Bank and East Jerusalem provides jobs for Palestinians and bridges communities.