The West Bank economy is in tatters as Israel's war on Gaza continues unabated. The World Bank has estimated the West Bank’s GDP could fall by 6% this year, while the International Labour Organization said 32% of jobs have already been lost.
Meanwhile, the unemployment rate has skyrocketed to 30%, up from 14% before Israel launched its latest military aggression on Gaza.
Israel has also withdrawn 130,000 work permits from Palestinians in the West Bank, leaving many with no source of income. Additionally, transport costs have increased because of a growing number of checkpoints and the sealing off of certain towns by the Israeli army.
As of December, Israel had not paid two billion shekels in taxes imposed on Palestinian products, according to the Palestinian finance ministry. The Palestinian Authority has struggled to pay public servants since the taxes were withheld.
Such factors have led to a contraction of the economy, which is now operating at 50% of its capacity, according to the Palestinian Chamber of Commerce.
