Tough-Talking Haniyeh Was Seen as the More Moderate Face of Hamas 

Hamas chief Ismail Haniyeh speaks during a press briefing after his meeting with Iranian Foreign Minister Hossein Amirabdollahian in Tehran, Iran, March 26, 2024. (AP)
Hamas chief Ismail Haniyeh speaks during a press briefing after his meeting with Iranian Foreign Minister Hossein Amirabdollahian in Tehran, Iran, March 26, 2024. (AP)
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Tough-Talking Haniyeh Was Seen as the More Moderate Face of Hamas 

Hamas chief Ismail Haniyeh speaks during a press briefing after his meeting with Iranian Foreign Minister Hossein Amirabdollahian in Tehran, Iran, March 26, 2024. (AP)
Hamas chief Ismail Haniyeh speaks during a press briefing after his meeting with Iranian Foreign Minister Hossein Amirabdollahian in Tehran, Iran, March 26, 2024. (AP)

Ismail Haniyeh, the Hamas leader who was killed in Iran, was the tough-talking face of the Palestinian group's international diplomacy as war raged back in Gaza, where three of his sons were killed in an Israeli airstrike.

But despite the rhetoric, he was seen by many diplomats as a moderate compared to the more hardline members of the Iran-backed group inside Gaza.

Appointed to the Hamas top job in 2017, Haniyeh moved between Türkiye's and Qatar's capital Doha, escaping the travel curbs of the blockaded Gaza Strip and enabling him to act as a negotiator in ceasefire talks or to talk to Hamas' ally Iran.

Hamas fighters launched on Oct. 7 a raid which killed 1,200 people in Israel, according to Israeli tallies, and took another 250 or so to hold as hostages in Gaza, one of the most crowded places on earth.

Israel's response to the strike has been a military campaign that has killed more than 39,000 people inside Gaza so far, and bombed much of the enclave into rubble, according to health authorities in the territory.

In May, the International Criminal Court prosecutor's office requested arrest warrants for three Hamas leaders, including Haniyeh, as well as Israeli Prime Minister Benjamin Netanyahu for alleged war crimes. Israel and Palestinian leaders have dismissed the allegations.

SONS KILLED IN AIRSTRIKE

Hamas' 1988 founding charter called for the destruction of Israel, although Hamas leaders have at times offered a long-term truce with Israel in return for a viable Palestinian state on all Palestinian territory occupied by Israel in the 1967 war. Israel regards this as a ruse.

Hamas also sent suicide bombers into Israel in the 1990s and 2000s.

In 2012, when asked by Reuters if Hamas had abandoned the armed struggle, Haniyeh replied "of course not" and said resistance would continue "in all forms - popular resistance, political, diplomatic and military resistance".

Three of Haniyeh's sons - Hazem, Amir and Mohammad - were killed on April 10 when an Israeli air strike struck the car they were driving, Hamas said. Haniyeh also lost four of his grandchildren, three girls and a boy, in the attack, Hamas said.

Haniyeh had denied Israeli assertions that his sons were fighters for the group, and said "the interests of the Palestinian people are placed ahead of everything" when asked if their killing would impact truce talks.

"All our people and all the families of Gaza residents have paid a heavy price with the blood of their children, and I am one of them," he said, adding that at least 60 members of his family were killed in the war.

Yet for all the tough language in public, Arab diplomats and officials had viewed him as relatively pragmatic compared with more hardline voices inside Gaza, where the military wing of Hamas planned the Oct. 7 attack.

While telling Israel's military they would find themselves "drowning in the sands of Gaza", he and his predecessor as Hamas leader, Khaled Meshaal, had shuttled around the region for talks over a Qatari-brokered ceasefire deal with Israel that would include exchanging hostages for Palestinians in Israeli jails as well as more aid for Gaza.

Israel regards the entire Hamas leadership as terrorists, and has accused Haniyeh, Meshaal and others of continuing to "pull the strings of the Hamas terror organization".

But how much Haniyeh knew about the Oct. 7 assault beforehand is not clear. The plan, drawn up by the Hamas military council in Gaza, was such a closely guarded secret that some Hamas officials seemed shocked by its timing and scale.

Yet Haniyeh, had a major hand building up Hamas' fighting capacity, partly by nurturing ties with Iran, which makes no secret of its support for the group.

During the decade in which Haniyeh was Hamas' top leader in Gaza, Israel accused his leadership team of helping to divert humanitarian aid to the group's military wing. Hamas denied it.

SHUTTLE DIPLOMACY

When he left Gaza in 2017, Haniyeh was succeeded by Yahya Sinwar, a hardliner who spent more than two decades in Israeli prisons and whom Haniyeh had welcomed back to Gaza in 2011 after a prisoner exchange.

"Haniyeh is leading the political battle for Hamas with Arab governments," Adeeb Ziadeh, a specialist in Palestinian affairs at Qatar University, said before his death, adding that he had close ties with more hardline figures in the group and the military wing. "He is the political and diplomatic front of Hamas," Ziadeh said.

Haniyeh and Meshaal had met officials in Egypt, which has also had a mediation role in the ceasefire talks. Haniyeh travelled in early November to Tehran to meet Iran's supreme leader Ali Khamenei, Iranian state media reported.

Three senior officials told Reuters that Khamenei had told the Hamas leader in that meeting that Iran would not enter the war having not been told about it in advance. Hamas did not respond to requests for comment before Reuters published its report, and then issued a denial after its publication.

As a young man, Haniyeh was a student activist at the Islamic University in Gaza City. He joined Hamas when it was created in the First Palestinian intifada (uprising) in 1987. He was arrested and briefly deported.

Haniyeh became a protégé of Hamas' founder Sheikh Ahmad Yassin, who like Haniyeh's family, was a refugee from the village of Al Jura near Ashkelon. In 1994, he told Reuters that Yassin was a model for young Palestinians, saying: "We learned from him love of Islam and sacrifice for this Islam and not to kneel down to these tyrants and despots."

By 2003 he was a trusted Yassin aide, photographed in Yassin's Gaza home holding a phone to the almost completely paralyzed Hamas founder's ear so that he could take part in a conversation. Yassin was assassinated by Israel in 2004.

Haniyeh was an early advocate of Hamas entering politics. In 1994, he said that forming a political party "would enable Hamas to deal with emerging developments".

Initially overruled by the Hamas leadership, it was later approved and Haniyeh become Palestinian prime minister after the group won Palestinian parliamentary elections in 2006 a year after Israel's military withdrew from Gaza.

The group took control of Gaza in 2007.

In 2012, when asked by Reuters reporters if Hamas had abandoned the armed struggle, Haniyeh replied "of course not" and said resistance would continue "in all forms - popular resistance, political, diplomatic and military resistance".



To Get Their Own Cash, People in Gaza Must Pay Middlemen a 40% Cut

A destroyed branch of the Bank of Palestine in the Tal al-Hawa neighborhood of Gaza City is seen Wednesday, July 9, 2025. (AP)
A destroyed branch of the Bank of Palestine in the Tal al-Hawa neighborhood of Gaza City is seen Wednesday, July 9, 2025. (AP)
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To Get Their Own Cash, People in Gaza Must Pay Middlemen a 40% Cut

A destroyed branch of the Bank of Palestine in the Tal al-Hawa neighborhood of Gaza City is seen Wednesday, July 9, 2025. (AP)
A destroyed branch of the Bank of Palestine in the Tal al-Hawa neighborhood of Gaza City is seen Wednesday, July 9, 2025. (AP)

Cash is the lifeblood of the Gaza Strip’s shattered economy, and like all other necessities in this war-torn territory — food, fuel, medicine — it is in extremely short supply.

With nearly every bank branch and ATM inoperable, people have become reliant on an unrestrained network of powerful cash brokers to get money for daily expenses and commissions on those transactions have soared to about 40%.

"The people are crying blood because of this," said Ayman al-Dahdouh, a school director living in Gaza City. "It’s suffocating us, starving us."

At a time of surging inflation, high unemployment and dwindling savings, the scarcity of cash has magnified the financial squeeze on families — some of whom have begun to sell their possessions to buy essential goods.

The cash that is available has even lost some of its luster. Palestinians use the Israeli currency, the shekel, for most transactions. Yet with Israel no longer resupplying the territory with newly printed bank notes, merchants are increasingly reluctant to accept frayed bills.

Gaza’s punishing cash crunch has several root causes, experts say.

To curtail Hamas’ ability to purchase weapons and pay its fighters, Israel stopped allowing cash to enter Gaza at the start of the war. Around the same time, many wealthy families in Gaza withdrew their money from banks and then fled the territory. And rising fears about Gaza’s financial system prompted foreign businesses selling goods into the territory to demand cash payments.

As Gaza’s money supply dwindled and civilians’ desperation mounted, cash brokers' commissions — around 5% at the start of the war — skyrocketed.

Someone needing cash transfers money electronically to a broker and moments later is handed a fraction of that amount in bills. Many brokers openly advertise their services, while others are more secretive. Some grocers and retailers have also begun exchanging cash for their customers.

"If I need $60, I need to transfer $100," said Mohammed Basheer al-Farra, who lives in southern Gaza after being displaced from Khan Younis. "This is the only way we can buy essentials, like flour and sugar. We lose nearly half of our money just to be able to spend it."

In 2024, inflation in Gaza surged by 230%, according to the World Bank. It dropped slightly during the ceasefire that began in January, only to shoot up again after Israel backed out of the truce in March.

Cash touches every aspect of life in Gaza

About 80% of people in Gaza were unemployed at the end of 2024, according to the World Bank, and the figure is likely higher now. Those with jobs are mostly paid by direct deposits into their bank accounts.

But "when you want to buy vegetables, food, water, medication -- if you want to take transportation, or you need a blanket, or anything — you must use cash," al-Dahdouh said.

Shahid Ajjour’s family has been living off of savings for two years after the pharmacy and another business they owned were ruined by the war.

"We had to sell everything just to get cash," said Ajjour, who sold her gold to buy flour and canned beans. The family of eight spends the equivalent of $12 every two days on flour; before the war, that cost less than $4.

Sugar is very expensive, costing the equivalent of $80-$100 per kilogram (2.2 pounds), multiple people said; before the war, that cost less than $2.

Gasoline is about $25 a liter, or roughly $95 a gallon, when paying the lower, cash price.

Bills are worn and unusable

The bills in Gaza are tattered after 21 months of war.

Money is so fragile, it feels as if it is going to melt in your hands, said Mohammed al-Awini, who lives in a tent camp in southern Gaza.

Small business owners said they were under pressure to ask customers for undamaged cash because their suppliers demand pristine bills from them.

Thaeir Suhwayl, a flour merchant in Deir al-Balah, said his suppliers recently demanded he pay them only with brand new 200-shekel ($60) bank notes, which he said are rare. Most civilians pay him with 20-shekel ($6) notes that are often in poor condition.

On a recent visit to the market, Ajjour transferred the shekel equivalent of around $100 to a cash broker and received around $50 in return. But when she tried to buy some household supplies from a merchant, she was turned away because the bills weren’t in good condition.

"So the worth of your $50 is zero in the end," she said.

This problem has given rise to a new business in Gaza: money repair. It costs between 3 and 10 shekels ($1-$3) to mend old bank notes. But even cash repaired with tape or other means is sometimes rejected.

People are at the mercy of cash brokers

After most of the banks closed in the early days of the war, those with large reserves of cash suddenly had immense power.

"People are at their mercy," said Mahmoud Aqel, who has been displaced from his home in southern Gaza. "No one can stop them."

The war makes it impossible to regulate market prices and exchange rates, said Dalia Alazzeh, an expert in finance and accounting at the University of the West of Scotland. "Nobody can physically monitor what’s happening," Alazzeh said.

A year ago, the Palestine Monetary Authority, the equivalent of a central bank for Gaza and the West Bank, sought to ease the crisis by introducing a digital payment system known as Iburaq. It attracted half a million users, or a quarter of the population, according to the World Bank, but was ultimately undermined by merchants insisting on cash.

Israel sought to ramp up financial pressure on Hamas earlier this year by tightening the distribution of humanitarian aid, which it said was routinely siphoned off by militants and then resold.

Experts said it is unclear if the cash brokers’ activities benefit Hamas, as some Israeli analysts claim.

The war has made it more difficult to determine who is behind all sorts of economic activity in the territory, said Omar Shabaan, director of Palthink for Strategic Studies, a Gaza-based think tank.

"It's a dark place now. You don't know who is bringing cigarettes into Gaza," he said, giving just one example. "It's like a mafia."

These same deep-pocketed traders are likely the ones running cash brokerages, and selling basic foodstuffs, he said. "They benefit by imposing these commissions," he said.

Once families run out of cash, they are forced to turn to humanitarian aid.

Al-Farra said that is what prompted him to begin seeking food at an aid distribution center, where it is common for Palestinians to jostle over one other for sacks of flour and boxes of pasta.

"This is the only way I can feed my family," he said.