Palestinian Economy in Crisis: Gaza’s Economy Shrinks to Less Than ⁢a⁤ Sixth of Its Pre-War Size

The United Nations⁣ Conference⁣ on‍ Trade and Development (UNCTAD) has reported ​a devastating decline in Gaza’s economy, shrinking⁤ to less than a sixth of its size before the Israeli war. This alarming trend is accompanied by‍ a significant rise in unemployment‍ rates in the West Bank, highlighting the immense challenge of recovery.

The Gaza Strip has been in ruins for over⁢ 11 months following Israel’s military operations in​ response ⁤to the Hamas attack in southern‌ Israel on October 7. The ​Palestinian⁣ government, with limited autonomy ⁣in the Israeli-occupied West Bank, faces enormous pressures that hinder its ability to fulfill its duties.

Unemployment Rates ⁣Soar in the ‌West Bank

UNCTAD reports that more than 300,000 jobs‌ have been lost in the​ West Bank ⁣since the war began,⁤ resulting in a significant increase in ⁢the⁣ unemployment rate from 12.9% to 32%. This drastic rise in⁣ unemployment poses a substantial challenge ‍to⁣ the region’s economic recovery.

Humanitarian Crisis and Call for Comprehensive Recovery Plan

“The Palestinian economy ​is in rapid ​decline,” stated UNCTAD ⁤Deputy ‌Secretary-General Pedro ‌Manuel Moreno⁢ during a ​press conference ​in‍ Geneva. “The report‍ calls on the international community ​to end this economic decline, resolve ‌the​ humanitarian crisis, and lay the foundations for peace and sustainable development.” Moreno emphasized the need for ⁢a​ comprehensive recovery plan ⁣to address⁢ the region’s economic and humanitarian challenges.

Consequences of the ​War

The war, which ‍began on October 7, 2023, resulted in the ​deaths of​ around 1,200 people and​ the taking of 250 hostages. In retaliation, Israel launched a heavy attack on Gaza,‍ leading⁣ to the deaths⁢ of over 41,000 Palestinians, according to the Gaza Ministry⁢ of‌ Health.

Image: Worawit Sitthiwang/Kanitnuch Sirisut