Updated
Updated · The New York Times · Aug 18
Israeli Curbs Push West Bank Toward Financial Collapse After Oct. 7 Attack
Updated
Updated · The New York Times · Aug 18

Israeli Curbs Push West Bank Toward Financial Collapse After Oct. 7 Attack

2 articles · Updated · The New York Times · Aug 18

Summary

  • The West Bank is nearing financial collapse as Israeli restrictions since the Oct. 7, 2023 Hamas-led attack slash Palestinian revenues and disrupt daily economic life.
  • Billions of dollars in tax revenue have been withheld, thousands of Palestinians have been blocked from working in Israel, and banking limits have further squeezed businesses.
  • The Palestinian Authority has responded by cutting salaries and public services, leaving pharmacies short of medicines, clinics open only a few days a week, and hospitals operating with fewer doctors and nurses.
  • Ramallah patient Ibtisam Hammad, 54, said only three of her six cancer prescriptions were available, underscoring how the fiscal crisis is spilling into basic health care.
  • Prime Minister Mohammed Mustafa said the authority faces a "huge problem," reflecting growing concern that a long-warned fiscal breakdown may finally be approaching.

Insights

With billions withheld and banks paralyzed, what happens to the West Bank when the Palestinian Authority finally runs out of money?
Could the deliberate financial starvation of the Palestinian Authority inadvertently trigger an uncontrollable power vacuum across the West Bank?
As medicine vanishes and clinics close, how are residents surviving a severe economic siege that has escalated into 2026?