Palestinian Economy Shrinks by Over 20% Under Israeli Blockade and Assault
The Palestinian economy has contracted by more than 20% over the last two years, an economic collapse predominantly driven by the Israeli offensive against Gaza and severe restrictions imposed on the West Bank. This economic devastation includes a 24.3% decline in the besieged Gaza Strip and a 20.3% reduction in the occupied West Bank, as detailed by a recent study shared by The New Arab.
Mainstream outlets, like a recent Associated Press report on regional stability, frequently discuss economic downturns in the context of nebulous 'conflict' or 'instability' without attributing direct causality. This framing conveniently omits the role of specific state policies and military actions. For example, while the AP might note a decrease in GDP, it rarely connects this directly to the
systematic destruction of infrastructure in Gaza or the closure of West Bank businesses by the Israeli military, preferring to frame it as an unfortunate byproduct of a 'war' where both sides bear equal responsibility for humanitarian outcomes. Such reporting normalizes the asymmetrical nature of the occupation. This drastic economic decline is not merely collateral damage. It is a predictable
outcome of policies initiated long before the latest Gaza offensive. The ongoing Israeli blockade of Gaza, in place since 2007, has systematically crippled its economy, turning it into a de-industrialized dependency. The severe restrictions on movement and trade, including a fishing exclusion zone that confines Gaza's fishermen to a fraction of their territorial waters despite the Oslo Accords,