The occupied Palestinian territories have experienced an unprecedented economic collapse due to Israeli military actions, according to a UN report released on Thursday.
The humanitarian situation in the Gaza Strip, where war has been raging ever since the October 7 attacks on Israel, is "beyond catastrophic," the UN has repeatedly said.
The UN Conference on Trade and Development (UNCTAD) in Geneva said that in the last quarter of 2023 the Gaza Strip's gross domestic product (GDP) "has plunged 81%, leaving its economy in ruins."
This corresponds to a 22% decline for the entire year. This summer, the GDP is said to have been only one-sixth of what it was in 2022.
Israel has been blockading and bombarding large parts of the Gaza Strip in a war launched after Palestinian militant group Hamas led unprecedented attacks on Israel on October 7 that killed more than 1,200 people.
According to the Hamas-controlled health authority in Gaza, more than 40,000 people have been killed in the Palestinian territory since the start of the war.
Economic tensions, land occupation, violence from Israeli settlers and the destruction of Palestinian facilities have reportedly had devastating economic consequences in the West Bank as well.
The UNCTAD report covers the Gaza Strip and the West Bank, including East Jerusalem.
For the United Nations, the Gaza Strip is also considered an occupied territory because Israel controls all access points.
However, Israel does not regard itself as an occupying power since the withdrawal of military and civilians from the Gaza Strip in 2005.
In the Gaza Strip, between 80% and 96% of agriculture is said to be destroyed or no longer usable, including irrigation systems, livestock farms, plantations, warehouses and machinery.
Additionally, 82% of private companies are reported to be destroyed or damaged, causing a loss of two-thirds of jobs, which amounts to 201,000 jobs.
In the West Bank, 96% of businesses reportedly experienced worse conditions. A total of 306,000 jobs were lost.
Families are said to have lost $25.5 million in income.
The GDP reportedly dropped by 19% in the fourth quarter, with an annual decline of 1.9% after a promising development before October 7.
"UNCTAD stresses that prolonged occupation remains the main obstacle to sustainable economic development," the organization said.
Founded in 1964 in Geneva, UNCTAD advocates in the United Nations for the interests of countries with small and medium incomes. It has 195 member countries.
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