The recent truce between Israel and Hamas in the Gaza Strip has brought a temporary respite from the sounds of war. However, the people of Gaza are now grappling with skyrocketing prices for essential items, leaving them frustrated and desperate. Shoppers blame shopkeepers and stallholders for taking advantage of the situation, leading to anger and resentment.
One resident, Imm Abdullah, who was displaced from her home in Gaza City, voiced her frustration at the dire conditions in the United Nations-run school where she is currently staying with her family. With limited food assistance and barely any provisions, Imm Abdullah expressed her struggle to sustain her family amidst the rising prices. Basic foodstuffs such as bottled water, eggs, salt, and sugar have become unaffordable, causing immense hardship for families like hers.
The poverty rate in the Gaza Strip has reached a staggering 53 percent, with one-third of residents living in extreme poverty. Approximately 64 percent of households do not have enough food, and unemployment stands at 47 percent. The recent Israeli aggression, coupled with the long-standing 17-year blockade, has dealt a severe blow to the Palestinian economy, resulting in a loss of $35 billion. Economic analyst Elhasan Bakr explained that price distortions due to the conflict have led to inflation ranging from 300 to 2,000 percent.
The situation is exacerbated by the limited aid allowed into Gaza by Israel. The aid is insufficient to cover the needs of the nearly one million displaced people currently seeking refuge in UN schools. The Gaza Strip requires 1,000 to 1,500 trucks per day to provide for its population of 2.3 million, but only a fraction of that is currently being allowed in.
Shopkeepers in Gaza, such as Mohammed Yasser Abu Amra, are also feeling the impact of the conflict. The closure of border crossings has led to higher wholesale prices for goods, forcing shopkeepers to raise their prices to break even. Lentils, fava beans, and cornflour are just a few examples of items that have seen significant price increases. Displaced shoppers like Imm Watan Muheisan find the current prices “insane” and struggle to afford even basic food items.
The destruction caused by the conflict has also left businesses without compensation. Previous donor aid has focused on rebuilding housing units rather than supporting the economy. The lack of infrastructure, from roads to communications towers, hinders the recovery of the Palestinian economy. Economic analyst Elhasan Bakr emphasized the need for a massive international effort in aid to alleviate poverty and unemployment levels that are reaching new record highs.
The scale of destruction in Gaza and the ongoing demand for products suggest that the informal price hikes may persist for a significant period. The road to recovery and rebuilding will be long, with estimates suggesting a minimum of five years to return to pre-war conditions. Until then, the people of Gaza face unimaginable hardships and struggle to meet even their most basic needs.
In conclusion, the Gaza Strip is facing an acute humanitarian crisis as prices soar and conditions worsen amidst the recent truce between Israel and Hamas. The impact on the economy, poverty rates, and unemployment levels is devastating, leaving the people of Gaza in desperate circumstances. Urgent international aid and support are needed to alleviate the suffering and begin the arduous task of rebuilding the region.
