Country name: conventional long form: none conventional short form: Gaza Strip local long form: none local short form: Qita Ghazzah
Economy Gaza Strip
Economy - overview:
High population density, limited land access, and strict internal
and external controls have kept economic conditions in the Gaza
Strip - the smaller of the two areas under the Palestinian Authority
(PA)- even more degraded than in the West Bank. The beginning of the
second intifadah in September 2000 sparked an economic downturn,
largely the result of Israeli closure policies; these policies,
which were imposed in response to security interests in Israel,
disrupted labor and commodity relationships with the Gaza Strip. In
2001, and even more severely in 2003, Israeli military measures in
PA areas resulted in the destruction of much capital plant, the
disruption of administrative structure, and widespread business
closures. Including the West Bank, the UN estimates that more than
100,000 Palestinians out of the 125,000 who used to work in Israel
or in joint industrial zones have lost their jobs. Half the labor
force is unemployed. Israeli withdrawal from the Gaza Strip in
September 2005 offers some medium-term opportunities for economic
growth, especially given the removal of restrictions on internal
movement. In addition, recent agreements and continuing negotiations
on the administration of Gaza's border crossings increase the
prospects for trade.
GDP (purchasing power parity):
$768 million (2003 est.)
GDP (official exchange rate):
NA
GDP - real growth rate:
4.5% (2003 est.)
GDP - per capita (PPP):
$600 (2003 est.)
GDP - composition by sector: agriculture: 3% industry: 28.3% services: 68.7% (includes West Bank) (2002 est.)
Labor force: 278,000 (April-June 2005)
Labor force - by occupation: agriculture: 11.9% industry: 18% services: 70.1% (2nd qtr. 2005)