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شبكة راية الإعلامية
World Bank: Palestine Shows Recovery Signs
The Palestinian economy faces significant challenges despite its reported growth in 2025, with an expansion of approximately 3% in the West Bank and 30% in Gaza. However, these figures do not reflect a genuine recovery, as financial crises persist, and unemployment rates remain high—78% in Gaza and 27.5% in the West Bank. The banking sector also faces increasing risks, amid rising reliance on local financing and growing accumulation of overdue debts. Meanwhile, the Palestinian Authority’s fiscal deficit is projected to exceed $1.2 billion in 2026, with expectations of rising to $1.6 billion, and potentially reaching $3.8 billion if payments through the clearing agreements continue to be halted. The report emphasizes that recovery requires financial and banking stability, improved financial flows, support for the private sector, as well as rebuilding productive capacity and strengthening economic relations between Palestine and Israel.
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