Palestinian economy faces worst-ever collapse after Israel-Hamas conflict, UN says

The Palestinian economy in the West Bank and Gaza has suffered its worst-ever collapse due to the two-year Israel-Hamas war and economic restrictions.

The economy shrank by 30% in 2024 compared to 2022, wiping out decades of growth.

The GDP per capita has returned to the level it was in 2003, meaning 22 years of development progress have been erased.

The situation in Gaza is particularly dire, with a GDP per capita of just $161 a year, the lowest in the world.

The UN says it will take decades for Gaza to recover fully, even with international support.

The West Bank is also suffering its most severe downturn on record due to movement restrictions and loss of economic opportunities.

Settler violence is making things worse by preventing farmers from accessing their crops and animals.