There is an important aspect to the Palestinians' plight which has been overlooked for too long. Besides the human suffering, Palestinians in Gaza are facing a dire economic situation that has been the cause of a humanitarian crisis — one that must be addressed with immediacy and action.
A recent report issued by the International Monetary Fund (IMF) reveals a desperate economic situation. The economy's prospects for 2010 are gloomy as Gaza remains impoverished and besieged by Israel. If any improvements are to be made, the three-year-old Israeli blockade needs to be lifted. "Real GDP in the West Bank and Gaza is estimated at 6.8 per cent (in 2009), consisting of an estimated 8.5 per cent growth in the West Bank and one per cent in Gaza," the report said.
Furthermore, trade and import restrictions affected all aspects of the Palestinians' daily life. For example, raw and building materials are not allowed in, which means that Palestinians are not able to reconstruct and build what was destroyed by Israel during previous confrontations and wars. If changes are not brought about urgently, the scenario looks extremely "pessimistic", according to the IMF.
But examining the state of affairs of the Palestinian economy should not be confined to numbers. These are just indicators of a desperate state of affairs and in fact are reflective of where the Palestinian-Israeli relations stand today. It is the result of an absence of any effort to resume the peace process between the two parties. In addition, what complicates the situation is the fact that the main players involved in overseeing the process — namely the Middle East Quartet and the US — have abandoned any serious efforts towards it. Hence, the Palestinian economy can only thrive again if the peace process is brought back on track.
