UN Report Warns of Decades-Long Development Setback in Gaza Amid Humanitarian Crisis

GAZA CITY: The United Nations Development Programme (UNDP) has reported a severe economic and developmental setback in the Gaza Strip, reversing nearly seven decades of progress. The report, released in conjunction with the United Nations Economic and Social Commission for Western Asia (ESCWA), warns of a potential economic collapse amid an ongoing humanitarian crisis, with Gaza's development regressing to levels recorded in 1955. According to Kuwait News Agency, the report projects a significant economic decline in the state of Palestine, with the Gross Domestic Product (GDP) expected to shrink by 35 percent, falling to USD 13.1 billion from a pre-war estimate of USD 20.2 billion by the end of 2024. Unemployment has surged, with 80 percent of Gaza's population without jobs and nearly half of the Palestinian population facing unemployment. Poverty rates are also anticipated to rise sharply, with 75 percent of Palestinians expected to live below the poverty line, affecting over 4.1 million people. The Human Development Index (HDI) in Palestine has been set back by 24 years, according to the report, underscoring the drastic decline in living standards. The Deputy Special Representative at the UNDP Programme of Assistance to the Palestinian People, Chitose Noguchi, emphasized the need for large-scale recovery efforts that go beyond humanitarian aid. She called for multi-sectoral interventions to rebuild infrastructure and restore livelihoods, highlighting the necessity of lifting economic restrictions, including movement limitations on workers and the withholding of clearance revenues by the Palestinian Authority. Noguchi noted that the situation in Gaza reflects broader regional challenges, with the Arab region bearing a disproportionate share of global conflicts and refugees. She stressed the importance of addressing both immediate humanitarian needs and fostering long-term developmental recovery in crisis-affected areas like Gaza, Lebanon, and Syria. Without strategic investments, she warned, the future remain s uncertain for millions in the region.