Israeli gov't announces 139-million-USD Negev development plan

JERUSALEM, July 14 (Xinhua) -- The Israeli cabinet approved on Sunday a 500-million-shekel (about 139 million U.S. dollars) plan for the economic development of the southern Negev Desert, according to a press release.

The five-year plan calls for significant investments in new housing, development of a high-tech sector, upgrading infrastructure, and strengthening local governments.

Beersheba, the largest city in the Negev, and smaller communities, including Dimona, Yeruham, Arad and Ofakim, have been defined as target communities in the plan, which aims to goad economic development in the region via the construction of three industrial parks and subsidizing existing others.

The plan would further provide financial incentives for companies to relocate to the Negev.

Drawn up by the Prime Minister's Office and the Negev and Galilee Development Ministry, the plan complements the Israeli military's massive relocation of air and ground bases to the Negev in the coming years, a move that decision-makers say is critical for extracting the region's economy from decades-long stagnation.

The government expects the plan announced Sunday to boost the Negev's economy by up to 1.7 billion shekels (470 million U.S. dollars) every year by 2020, the press release said.

Speaking at Sunday's cabinet meeting, Prime Minister Benjamin Netanyahu called the plan a "historic move," saying that it will create jobs and turn the Negev into an important high-tech hub.

Negev and Galilee Development Minister Silvan Shalom told cabinet ministers he seeks to implement the plan in a way that will entice career military families and middle-class Israelis to immigrate to the Negev.

He said the ministry, in conjunction with local authorities, plans to launch a public relations campaign to improve the Negev's image in a bid to encourage young families to relocate to the area, alongside increasing the supply of residential housing, expanding culture and recreation and developing civilian infrastructure to narrow the gaps between Negev communities and central Israel.

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