Economy in Gaza ‘on verge of collapse’

Gaza’s economy is in a worse state than any other in the world, with unemployment at a global high, output contracting sharply, and the long-term prospects worrying, the World Bank said.

Repeated rounds of conflict, internal divisions, and the embargo Israel and Egypt impose have left the territory “on the verge of collapse”, the report states, with its 1.8m population facing poverty and destitution despite vast aid.

“Blockades, war, and poor governance have strangled Gaza’s economy and the unemployment rate is now the highest in the world,” according to the report, drafted by Steen Lau Jorgensen, the World Bank’s director for Gaza and the West Bank. It is to be presented in Brussels on Wednesday.