UN report puts Gaza reconstruction needs at $71.5bn amid 90% unemployment

September 24, 2026 at 10:03 PM2 min

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UNCTAD reports Gaza's recovery and reconstruction needs have reached an estimated $71.5bn and are likely to increase. The report, presented at UNCTAD's 73rd session on Thursday, says Gaza's economy has experienced the world's most severe crisis on record. It cites 90% unemployment and $2.8bn in lost labour income across the Occupied Palestinian Territories.

Key Facts

UNCTAD estimates Gaza's recovery and reconstruction needs at $71.5bn, a figure likely to increase.
Over 90% of Gaza's working-age population is unemployed, and $2.8bn in cumulative labour income has been lost across the Occupied Palestinian Territories.
Gaza's GDP per capita fell to $212 in 2025, an 83% decrease since 2022.
Israel withheld clearance revenue transfers from May 2025 through mid-2026, with cumulative deductions exceeding $3.67bn between 2019 and March 2026.

Economic Collapse

UNCTAD's report states that 59 years of Israeli occupation have imposed structural constraints that systemically stunted the Palestinian economy. Since October 2023, Israeli military operations have damaged or destroyed 92% of economic establishments in Gaza. Unemployment has surged to over 90% of Gaza's working-age population, while hundreds of thousands of jobs have been lost across the Occupied Palestinian Territories. Gaza's GDP per capita was $212 last year, an 83% decrease since 2022.

Infrastructure Damage

A separate assessment by the World Bank, EU, and UN put Gaza's physical infrastructure damage at $35.2bn and economic and social losses at $22.7bn as of early 2026. Housing accounts for the largest share of Gaza's damage and reconstruction needs. More than half of hospitals and clinics remain non-functional, and less than 1.5% of cropland remains accessible and undamaged.

Fiscal Pressure

Israel withheld clearance revenue transfers collected on the Palestinian Government's behalf under the Paris Protocol from May 2025 through mid-2026. Cumulative deductions and withheld revenues between 2019 and March 2026 exceeded $3.67bn, equivalent to 83% of total Palestinian net revenue in 2025. The Palestinian Authority's 2025 budget deficit reached 13% of GDP, straining essential services with health-related arrears hitting $1bn.