Economy - overview Economic progress in the Gaza Strip has been hampered by tight Israeli security restrictions. In 1991 roughly 40% of Gaza Strip workers were employed across the border by Israeli industrial, construction, and agricultural enterprises, with worker remittances supplementing GDP by roughly 50%. Gaza has depended upon Israel for nearly 90% of its external trade. The Persian Gulf crisis and its aftershocks have dealt blows to Gaza since August 1990. Worker remittances from the Gulf states have dropped, unemployment and popular unrest have increased, and living standards have fallen. The redeployment of Israeli forces in the Gaza Strip in May 1994 has added to the set of adjustment problems. This series of disruptions has meant a sharp decline in employment in Israel since 1991 and a drop in GDP as a whole. An estimated 378,000 persons were in refugee camps in 1996.

GDP purchasing power parity - $1 billion (1996 est.)

GDP - real growth rate -6.9% (1996 est.)

GDP - per capita purchasing power parity - $1,100 (1996 est.)

GDP - composition by sector
agriculture: 33%
industry: 25%
services: 42% (1995 est., includes West Bank)

Inflation rate - consumer price index 8.4% (1996 est.)

Labor force NA
by occupation: services 66%, industry 21%, agriculture 13% (1996)
note: excluding Israeli settlers

Unemployment rate 28% (1997 est.)

Budget
revenues: $684 million
expenditures: $779 million, including capital expenditures of $NA (1996)
note: includes West Bank

Industries generally small family businesses that produce textiles, soap, olive-wood carvings, and mother-of-pearl souvenirs; the Israelis have established some small-scale modern industries in an industrial center

Industrial production growth rate NA%

Electricity - capacity NA kW
note: electricity supplied by Israel

Electricity - production NA kWh
note: electricity supplied by Israel

Electricity - consumption per capita NA kWh

Agriculture - products olives, citrus, other fruits, vegetables; beef, dairy products

Exports
total value: $630 million (f.o.b., 1997 est.) (includes West Bank)
commodities: citrus
partners: Israel, Egypt, West Bank

Imports
total value: $1.7 billion (c.i.f., 1997 est.) (includes West Bank)
commodities: food, consumer goods, construction materials
partners: Israel, Egypt, West Bank

Debt - external $NA

Economic aid
recipient: ODA, $NA

Currency 1 new Israeli shekel (NIS) = 100 new agorot

Exchange rates new Israeli shekels (NIS) per US$1 - 3.5340 (December 1997), 3.4494 3.1917 (1996), 3.0113 (1995), 3.0111 (1994), 2.8301 (1993)

Fiscal year calendar year (since 1 January 1992)

NOTE: The information regarding Gaza Strip on this page is re-published from the 1998 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Gaza Strip Economy 1998 information contained here. All suggestions for corrections of any errors about Gaza Strip Economy 1998 should be addressed to the CIA.