Israeli restrictions push Palestinian economy in West Bank toward 'full crisis' - report

The West Bank's economy is teetering on the brink of a "full crisis" due to Israeli restrictions on labor, government funds, banking, trade, and movement, a report from The New York Times indicates. These measures, intensified after the October 7, 2023, events, have severely impacted the Palestinian Authority (PA). Following the October 7 attacks, Israel imposed a permit ban that barred more than 100,000 Palestinian laborers from entering the West Bank, citing security concerns. This ban has drastically reduced the PA's revenue streams. Compounding the issue, since May 2025, Israel has been confiscating hundreds of millions of dollars monthly in import taxes collected on behalf of the PA. These taxes constitute approximately two-thirds of the PA's projected $6 billion budget for 2026, according to Palestinian officials cited by the NYT. The severe budget cuts have forced the PA to slash salaries for its 140,000 civil servants and security personnel, reduce the school week to three days, and accumulate billions in debt. Arafat Halabi, a traffic police officer in Nablus, shared with the NYT that his monthly salary of about $1,500 has been halved, forcing him to make difficult financial choices, such as eating meat only once a week and relying on public transportation. The crisis has also critically affected the healthcare sector. Pharmacies frequently face shortages of medications due to reduced government funding for purchases. Many clinics now operate on a limited schedule, and hospitals are struggling with fewer doctors and nurses. Ibtisam Hammad, a West Bank resident diagnosed with breast cancer, recounted her difficulties obtaining necessary prescriptions due to these shortages. In response to increased violence and security concerns, Israel has also implemented additional roadblocks throughout the West Bank, further restricting movement.

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All I can do is the bare minimum