GAZA CITY: A United Nations assessment has proposed a comprehensive recovery and reconstruction plan that combines humanitarian aid with strategic investments, aiming to realign the Palestinian economy with development plans by 2034. The report highlights that the year-long conflict in Gaza and escalations in the West Bank have set Palestinian development back by approximately 69 years. According to Emirates News Agency, the report titled "Gaza war: Expected socioeconomic impacts on the State of Palestine," produced by the UN Development Programme (UNDP) and the UN Economic and Social Commission for Western Asia (UNESCWA), asserts that without lifting economic restrictions and focusing on recovery and investment, the Palestinian economy may struggle to return to pre-war levels and advance beyond reliance on humanitarian aid. UNDP Administrator Achim Steiner emphasized that unrestricted recovery efforts are crucial for this scenario to unfold. Steiner stated, "Projections in this new assessment confirm that amidst the immediate suffering and horrific loss of life, a serious development crisis is also unfolding - one that jeopardizes the future of Palestinians for generations to come." He further noted that humanitarian aid alone may not be sufficient for the economy to regain its pre-crisis level for a decade or more. As conditions improve, Steiner advocated for a robust early recovery strategy integrated into the humanitarian assistance phase, which would lay the groundwork for sustainable recovery. Building on earlier findings, the report estimates that poverty in Palestine will rise to 74.3 percent in 2024, affecting 4.1 million people, including 2.61 million newly impoverished individuals. The assessment also explores the extent of deprivation using multidimensional poverty indicators and considers recovery prospects following a ceasefire, presenting three early recovery scenarios. In addition to $280 million in humanitarian aid, the report allocates $290 million annually for recovery efforts, predicting a one percent annual productivity increase, which could help the economy recover and align with Palestinian development goals.
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