As regards foreign trade, the occupation authorities are pursuing a policythat subjugates the economy of the occupied territories in the service of fsraeltseconomy. rsrael was the primary source of west B€nk imports, uith go per cent ofthe total' of whicb the share of tbe East Bank eas only 5 per cent. As a result ofthe imbalance in trade rerations between the west Bank and rsraer, the deficit igfinanced by the trade surplus hrith the E€6t Bank, by remiEtances from the workersabroad and by Arab assistance provlded to the inhabitants of the occupledterritories. Services sector This is a consumption sector that does not generate any materiar returns tocover its expenses and as such receives no attention vorth mentioning fromoccupation authorities, as i! does not serve the Israeli econoov.A/40 /7 02 Engli sh Page 132 Spending by the Israeli authorlties on the services sector is l-lmitedbasically to keepinq it in existence and not for lts lmprovement or development. Therefore, rneasures adopted by the Israeli Government to reduce the deflclt in its balance of payments and to curb inflation are reflected negatlvely in this sectorin the occupied area, and reduction in spending has affected it directly. The medical, educational and postal services are therefore decllning, as are public works' except those that serve Israeli settlenent and mititary purposes - such as the reglonal roads project - to the extent that the needs of the population are no longer sa ti s fi ed. The medical service remains unable to meet Ehe requirenents of the population, because of obstailes inposed by tbe fsraefi authorlties, the lack of moder n technology and the shortage of physiclans in government hospitals and clinics. The number of hospital beds in che occupied territories has not increased inproportion with the population increase, as the occupation authorities oppose the modernizatlon of medical eguipment in existing hospitals and the construction of new hospita ls. Reference should be made here to an lncrease in the number of beds in some West Bank Hospltals, such as the al-Hussein Hospital at Beit Jala, the new Ramallahnospital and the Rafidia Hoepital. This increase vras made possible by grants and assistance provlded to the inhabitants of the Vfest Bank, not by the occupation
**Analysis**
The text appears to be discussing the economic policies and consequences of the Israeli occupation on the occupied territories, specifically the West Bank. It highlights the imbalance in trade relations, the decline of the services sector, and the limitations on medical and educational services. These issues are closely related to economic development, international trade, and human well-being, making it challenging to categorize the text into a single category.

**Category**
International trade, Health, Education, Economic development