In Gaza City, Baraa Abu al-Aoun operates a roadside business repairing worn banknotes, a crucial service in the region amid a severe cash crisis. Following a deadly attack by Hamas on Israel in 2023, Israel halted the transfer of banknotes to Gaza, exacerbating shortages. Most banks in the area were damaged in strikes, and many remain closed, leading to long lines as a few branches have reopened, allowing customers to reactivate accounts.
With cash in high demand for purchasing essentials, people increasingly rely on informal money merchants, who often charge high fees for cash withdrawals. The ongoing economic strain has pushed four out of five residents into unemployment, according to a UN report, with many struggling to access cash. Local businesses have adapted by charging significant commissions on electronic transfers, which can reach 50% during times of scarcity.
While some have turned to electronic payments and e-wallets, which have gained traction among Gazans, accessibility remains a challenge. Organizations like UNICEF are using these digital tools to provide aid, but the costs of basic food items continue to rise dramatically, leaving many in difficult situations. As noted by local residents, the financial situation remains critical, with some noting the immense emotional toll that this ongoing crisis has inflicted.
Abu al-Aoun hopes for an end to the conflict and a return to a more stable life, where he could pursue education and better opportunities. His work reflects a broader struggle within Gaza, where existing banknotes have become valuable commodities as people navigate the challenges posed by ongoing economic instability and conflict.
Source: https://www.bbc.com/news/articles/c5yq6g1gv4jo?at_medium=RSS&at_campaign=rss