Israeli-imposed restrictions and the ongoing conflict have triggered a severe liquidity shortfall in Gaza, paralyzing the territory’s banking infrastructure and disrupting essential economic activity. With cash withdrawals limited and financial transactions frozen, businesses and residents face mounting challenges in conducting even basic transactions. The breakdown in banking services threatens to deepen the humanitarian crisis, as essential goods and services become harder to access. The collapse of Gaza’s banking system underscores the broader economic strain caused by the war’s destruction and movement restrictions.
Israeli restrictions and war damage have created a liquidity crisis, crippling Gaza's banking system and daily commerce.
