Gaza Economy at 13 Percent of Pre-Genocide Level, With Worst Collapse on Record

"In 2024 alone, Israel caused Gaza's GDP to decline by 83 percent, according to data reported Tuesday by the UN Trade and Development (UNCTAD) agency. Now, Gaza's economy stands at just 13 percent of its 2022 levels, UN experts say. "Gaza's economy has lost 87 per cent of its value since 2022," said Mutasim Elagraa, UNCTAD economist and coordinator for Palestine within the agency, per UN News. "GDP per capita has reverted to levels seen 22 years ago. This is the worst economic crisis on record, anywhere in recent decades.""

"The report notes that 70 percent of Gaza's infrastructure has been destroyed in Israel's bombardments, amounting to more than 174,500 structures. This damage has "reversed decades of socioeconomic progress" in Gaza, the report notes. The all-encompassing losses have pushed the economy to "near-total collapse," the agency notes. Rebuilding Gaza would cost more than $70 billion, and it would take decades to return to pre-genocide levels even if the global community mobilized immediately to begin reconstruction."

UNCTAD data show Gaza's GDP fell 83% during 2024, leaving the economy at roughly 13% of its 2022 level. Overall economic value has decreased about 87% since 2022 and GDP per capita reverted to levels seen 22 years ago. Extensive bombardment destroyed roughly 70% of infrastructure—over 174,500 structures—reversing decades of socioeconomic progress and pushing the economy toward near-total collapse. Reconstruction will require more than $70 billion and decades to restore pre-conflict conditions even with immediate global mobilization. Blocked currency flows and widespread asset losses have produced multidimensional poverty affecting the entire population.

Read at Truthout