The Gaza Strip is facing a severe economic and humanitarian crisis following years of conflict. The territory’s economy has plummeted by 87 percent in the last two years, leaving thousands of families without income or resources.
Families Struggling to Survive
In Gaza City, families displaced by the war are living in crowded tents and schools. Alaa Alzanin, 41, shelters with his wife, five children, mother, and sister after losing their home in Beit Hanoon. Previously a day laborer in farming and infrastructure, Alzanin is now unemployed.
“I have no work, I can’t provide for my family,” he said.
Majed Hamouda, 53, is another resident struggling to survive. He has polio, and his wife is a thalassemia carrier. With five children, he relies on halted government aid and charity to get by. Some days, his children collect plastics to sell for food.
“We are like dead people, but not buried yet,” Hamouda said.
Gaza’s Economy Collapsed
According to the Palestinian Central Bureau of Statistics, unemployment in Gaza has reached 80 percent, with more than 550,000 people unemployed across Palestine.
The United Nations Conference on Trade and Development (UNCTAD) reported that Gaza’s GDP dropped to $362 million, erasing over two decades of economic growth. GDP per capita has fallen to $161, one of the lowest in the world.
Before the conflict, Gaza’s economy relied heavily on small and medium-sized enterprises (SMEs) and agriculture, which contributed to over 50 percent of employment and 17 percent of Palestine’s GDP. The current war has wiped out nearly all sectors, including housing and infrastructure.
Aid and Recovery Challenges
Aid supplies entering Gaza are insufficient to meet basic needs, with only two crossings open and restricted deliveries. The World Food Programme warns of widespread hunger and famine.
The Gaza government emphasizes that recovery depends on rebuilding productive sectors like industry, agriculture, and services. Temporary employment programs, support for SMEs, and accurate economic data are key to restoring the economy.

“We aim to build productive projects, not just relief efforts,” said Ismail al-Thawabta, head of the Gaza Government Media Office.
Human Impact
Families like the Alzanins are surviving on limited hot meal deliveries in camps. Mariam Alzanin, three months pregnant, explains that while food is provided, it is insufficient and nutritionally inadequate.
“We see food in the markets, but we can’t afford it,” she said. “The portions for the children are tiny, and we want more nutritious options like bananas, apples, fish, and eggs.”


