Displacement, Job Loss Drive Worsening Hunger and Economic Collapse in Gaza

Displacement, Job Loss Drive Worsening Hunger and Economic Collapse in Gaza
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Widespread displacement, unemployment and food shortages have left families across Gaza struggling to survive amid the ongoing war, with many reliant on inadequate humanitarian aid.
Severe economic collapse, restricted crossings and delayed recovery plans continue to deepen poverty and prolong the humanitarian crisis.

More details in this report:
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Palestinian families displaced by Israel’s war are sheltering in overcrowded schools and makeshift tents across Gaza, facing severe unemployment, food shortages and deteriorating living conditions, as reported by Al Jazeera. Many have been forced to flee their homes multiple times after widespread destruction, leaving them exposed to winter conditions and reliant on humanitarian assistance.

Large households are now living in cramped spaces with little privacy or protection from the elements. Breadwinners who once relied on daily labour in agriculture and construction say work has disappeared entirely, cutting off their only source of income and leaving families unable to meet basic needs.

People with disabilities and chronic illnesses are among the hardest hit. Some families say financial assistance they previously depended on has stopped since the war began, forcing children to collect plastic and scrap from the streets to sell so the household can survive.

The humanitarian crisis is deepened by limited access to food. The United Nations’ World Food Programme says aid entering Gaza is far below daily requirements due to restrictions on border crossings. Many families depend on communal meal distributions, which ease hunger but fail to provide adequate nutrition.

Economic data reflects the scale of the collapse. Palestinian officials report unemployment in Gaza has surged to around 80 percent, while gross domestic product has fallen dramatically. Once supported by private businesses and agriculture, the economy has been crippled by years of blockade and the destruction of infrastructure.

Authorities in Gaza say recovery will require rebuilding productive sectors, supporting small and medium-sized enterprises, and reopening all crossings to allow trade and raw materials to flow. With ceasefire plans only partially implemented, Gaza faces significant obstacles to economic recovery and reducing dependence on aid.