A recent United Nations report reveals that Gaza's economy has sharply deteriorated in the wake of the latest conflicts, now only a sixth of its pre-conflict size. Since the Israeli military operation launched in October 2022, Gaza's economy has been described as "devastated."
Pedro Manuel Moreno, Deputy Secretary-General of the United Nations Conference on Trade and Development (UNCTAD), stated at a press conference that the Palestinian economy is facing unprecedented challenges. He urged the global community to take immediate action to contain the crisis, alleviate the humanitarian disaster, and lay the groundwork for long-term peace in the region.
The report also pointed out that due to the reduction in international aid and Israel's withholding of financial revenues, the Palestinian financial situation has further deteriorated. Since 2019, Israel has withheld $1.4 billion, citing Palestinian authorities' support for violence, although these authorities deny the allegations.
The economy of the West Bank has also been severely impacted, with the unemployment rate soaring from 12.9% to 32%. This plight stems from regional tensions and trade and transportation restrictions imposed by Israel. Additionally, frequent violent incidents since the conflict have led to significant casualties, further worsening the situation.
