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If Israel can be a modern developed state today, what is stopping Palestine? Palestine had surrounding rich Arab states to help them but they chose another path. They actively refused the two state solution or the appropriate borders that Israel offered to them. They blew that chance. Today they have to depend on Israel for water and electricity.
The thing stopping Palestine from becoming a modern state is an occupation of west bank and blockade of gaza. They cannot even have a cohesive economy in West bank as all their towns are interspersed with illegal settlements so roads cannot connect their towns
Of course they have to depend on Israel of electricity and water, because Israel occupied their resources.
Palestine had no chance of receiving help from "rich" Arab countries as you mention..Egypt, Jordan Lebanon aren't wealthy countries. Gulf countries side with USA. So defacto side with Israel.
Look at the illegal israeli settlements today. This is after 1993 agreements. Imagine If 1948 borders were agreed upon.. Palestine would have valuable agricultural land and water. Eventually Israel would have taken it sooner or later. They would've had to.
Palestine doesn't deserve all the blame.