The UN General Assembly report notes that the economy of Gaza was on the verge of collapse due to the damage caused by Israeli military operations. This damage was equal to six times of Palestinian enclave’s gross domestic product in 2018. Gaza has suffered nearly $16.7 billion loss from siege, occupation, and military operations.
Poverty in Gaza
The poverty rate of Gaza stood at 40% in 2007 and was expected to fall down to 15% by 2017 if it wasn’t for the prolonged military operations. And as of today, it has shot up to 56%. The prolonged human rights violations have also been one of the drivers of poverty in the region. The gap of inequality is also far more severe than it was a decade ago.
Prolonged impact of military operations
Due to the continuous military actions, the poverty gap in Gaza was at 20% in 2017, which would have been at around 4.2% if there was no impact of the military operations. Between 2007 to 2017, the overall economy of Gaza grew by 5%, a mere half percentage points every year. The long military operations have resulted in the near-collapse of the regional Gaza economy.
Lifting the Gaza blockade is crucial for the trade to resume freely with the rest of the occupied Palestinian territory and with the outside world. It is also important for general human rights and restoration of the right to free movement of business, medical care, education, family bonds, and recreation.
Investments in Gaza
The UN General Assembly report recommended that the Palestinian government must be allowed to advance the energy resources and boost the economic potential of the region through investments in seaports, airports, electricity, and water projects.
Khalil adwan. 2020 . UN report finds Gaza suffered $167 billion loss from siege and occupation. 25th November . UN report finds Gaza suffered $167 billion loss from siege and occupation. [Online]. [5 March 2021]. Available from: https://news.un.org/en/story/2020/11/1078532