Prolonged Crisis in the Occupied Palestinian Territory: Recent Socio-Economic Impacts

01 January 2006

The economic, social and humanitarian conditions in the oPt have deteriorated at a more rapid pace since the Israeli withdrawal from Gaza and the northern West Bank in August 2005. The present phase of the crisis is distinguished by the Government of Israel’s (GOI) impounding of PA customs and VAT revenues and the boycott of the PA by major donor countries. The political isolation of the PA is not a new phenomenon as the GOI has had limited contacts since 2001 while the Quartet shunned contacts with the PA presidency during 2002—2004. Likewise, in violation of signed agreements, the GOI has previously impounded PA customs and VAT revenues during 2000-2001 and again in 2002 but this was offset by significant amounts of budget support mainly from Arab Gulf states and the European Union.

Two UNRWA students from Gaza enjoy recess in their first day of school. © 2017 UNRWA Photo by Rushdi Al-Saraj
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