2023 Gaza conflict impacts Israel's economy, causing 21% GDP decline and labor shortages.

The ongoing Gaza conflict is severely affecting Israel's economy, leading to rising poverty even in distant communities. Following a 21% GDP decline in late 2023, the economy rebounded by 14% in early 2024 but has since slowed to 0.7% growth. Key sectors like tourism, construction, and agriculture are struggling, exacerbated by labor shortages from halted work permits for Palestinians. Economists warn that prolonged fighting could hinder economic recovery.

September 24, 2024
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