Israel Sets Back Gaza 77 Years – UN Reports

The UN and European Union issued a joint warning on Monday that human development across Gaza has been set back by a staggering 77 years, with $71.4 billion needed over the next decade for recovery and reconstruction.

That’s according to the final Gaza Rapid Damage and Needs Assessment (RDNA), jointly conducted with the UN-partnered World Bank.

The assessment says $26.3 billion will be needed in the first 18 months to restore essential services, rebuild critical infrastructure and support economic recovery.

Since full-scale war erupted in Gaza following the Hamas-led attacks on southern Israel in October 2023, the physical damage in the Strip is estimated at $35.2 billion, with a further $22.7 billion in economic and social losses.

Entire sectors have been devastated, including housing, health, education, commerce, and agriculture. 

Over 371,888 housing units have been destroyed or damaged, more than 50 per cent of hospitals are non-functional, and nearly all schools have been destroyed or damaged. The economy has contracted by 84 per cent.

Devastating human toll 

The impact on the lives of Gazans is just as devastating: more than 60 per cent of the population having lost their homes and 1.9 million people displaced, often multiple times. Women, children, persons with disabilities, and those with pre-existing vulnerabilities bear the greatest burden.

Over two years of conflict has resulted in more than 71,000 Palestinian fatalities and over 171,000 injured, according to local authorities, with many still missing under the rubble. 

Framework for reconstruction

The report provides the foundation for early recovery planning and reconstruction, stressing it must must run in parallel with humanitarian action to ensure an effective transition from emergency relief toward reconstruction at scale in both the Gaza Strip and West Bank.

The assessment is framed in line with Security Council adopted resolution 2803 (2025) of the US-backed Comprehensive Plan to End the Gaza Conflict, which welcomed establishment of the Board of Peace led by President Trump as a transitional administration to set the framework for redevelopment and authorised the mechanism to set up a temporary International Stabilisation Force (ISF). 

The EU and UN emphasise that recovery and reconstruction should be Palestinian-led and should support the transition of governance to the Palestinian Authority, while advancing a durable political settlement based on the two-State solution.

Planning and implementation should be inclusive, transparent, and accountable, with particular attention to the needs of women, children, elderly, and persons with disabilities.

Conditions needed

The assessment recognises that a set of enabling conditions are essential for recovery, reconstruction, and implementation of the broader political framework:

  • A sustained ceasefire and adequate security
  • Unimpeded humanitarian access and immediate restoration of essential services
  • Free movement of people, goods, and reconstruction materials, within and between Gaza and the West Bank, and a functional, transparent financial system
  • Clear, accountable governance, including defined mandates and establishment of conditions for the transitional administrative bodies in coordination with the Palestinian Authority (PA)
  • A credible pathway for the PA’s future governance across the entire Occupied Palestinian territory, including Gaza, the West Bank and East Jerusalem, is essential
  • Debris clearance, explosive ordnance management, and resolution of housing, land, and property rights are prerequisites for reconstruction.
  • The international community must mobilise resources in a targeted, sequenced, coordinated manner 
  • All obstacles to the deployment of expertise and equipment must be removed rapidly

UN News

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Roadmap: Gaza Needs $53 Billion to be Rebuilt

Reconstruction and recovery needs in Gaza are estimated to require $53 billion, according to the Gaza & West Bank Interim Rapid Damage and Needs Assessment (IRDNA) released Tuesday. The report analyzes damages and losses as well as recovery and reconstruction needs across almost all sectors of the Palestinian economy based on data from October 2023-October 2024.

  • Rapid Damage and Needs Assessments follow a globally recognized methodology that has been applied in multiple contexts to inform recovery and reconstruction planning.
  • With on-ground access restrictions and the rapid pace at which the situation is evolving in Gaza, the IRDNA provides an interim estimate of the impacts and needs.
  • Damages to physical structures alone are estimated at about $30 billion.
    • Housing was by far the hardest hit sector, accounting for 53% of total damages, followed by commerce and industry at 20%.
    • Extensive damage to lifeline infrastructure such as health, water and transport is estimated at over 15% of the total damages.
  • Economic losses from reduced productivity, foregone revenues, and operating costs are estimated at $19 billion, with health, education and commerce bearing the biggest toll.
  • Some sectors face higher recovery needs than the value of the physical destruction sustained, such as the funding needed for the management of the between 41 to 47 million tons of rubble and debris.

Almost all sectors in Gaza have experienced a total halt in economic production. Prices in Gaza have soared over 300% in one year, with food prices alone up by 450%. Gaza’s economy is projected to have contracted by 83% in 2024, dropping its overall contribution to the economy to 3%, despite being home to 40% of the population in the Palestinian territories. The West Bank’s economy is also struggling and is projected to have shrunk by 16% in 2024.

The report, jointly produced by the World Bank Group, the United Nations and the European Union, puts forward a roadmap for sequencing recovery efforts along with their associated costs in the short and medium term. It underscores the importance of a closely coordinated multisectoral response involving all stakeholders. The report further notes that the speed, scale and scope of recovery and reconstruction will be shaped by factors such as governance arrangements, entry to and mobility within the Gaza Strip for people and goods, law and order, and safety and security.

Reliefweb

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Gaza: An Economic Disaster

The World Bank stated that the ongoing Israeli war on Gaza since October 7, 2023, has led to an “unprecedented shift in modern history” for the Palestinian economy, which has been destroyed by Israeli attacks.

In their latest report, they revealed that the Israeli genocide has destroyed nearly 93% of bank branches in Gaza, with only 3 out of 94 ATMs still operational.

It added that Palestinians in Gaza are struggling to pay for basic goods such as food and medicine, as the collapse of the banking system disrupts the private sector.

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