Gaza's Huge Reconstruction Challenge: Key Facts and Figures

Palestinians remove the rubble of houses destroyed by Israeli strikes, amid Israel-Hamas conflict, in Khan Younis in the southern Gaza Strip, September 4, 2024. REUTERS/Hatem Khaled/File Photo Purchase Licensing Rights
Palestinians remove the rubble of houses destroyed by Israeli strikes, amid Israel-Hamas conflict, in Khan Younis in the southern Gaza Strip, September 4, 2024. REUTERS/Hatem Khaled/File Photo Purchase Licensing Rights
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Gaza's Huge Reconstruction Challenge: Key Facts and Figures

Palestinians remove the rubble of houses destroyed by Israeli strikes, amid Israel-Hamas conflict, in Khan Younis in the southern Gaza Strip, September 4, 2024. REUTERS/Hatem Khaled/File Photo Purchase Licensing Rights
Palestinians remove the rubble of houses destroyed by Israeli strikes, amid Israel-Hamas conflict, in Khan Younis in the southern Gaza Strip, September 4, 2024. REUTERS/Hatem Khaled/File Photo Purchase Licensing Rights

Billions of dollars will be needed to rebuild Gaza when the war between Israel and the Palestinian group Hamas ends, according to assessments from the United Nations.

Here is a breakdown of the destruction in Gaza from the conflict prompted by the Oct. 7 attack on Israel by militants led by the then Hamas rulers of the long-besieged Palestinian enclave, according to Reuters.

HOW MANY CASUALTIES ARE THERE?

The Hamas attack on Israel killed 1,200 people, according to Israeli tallies. Israel's retaliation has killed more than 41,000 Palestinians and injured around 95,000, according to the Gaza health ministry.

HOW LONG WILL IT TAKE TO CLEAR THE RUBBLE?

The United Nations has warned that removing 40 million tonnes of rubble left in the aftermath of Israel's bombardment could take 15 years and cost between $500-600 million.

The debris is believed to be contaminated with asbestos and likely holds human remains. The Palestinian health ministry estimated in May that 10,000 bodies were missing under the rubble.

HOW MANY HOMES HAVE BEEN DESTROYED?

Rebuilding Gaza's shattered homes will take at least until 2040 but could drag on for many decades, according to a UN report released in May.

Palestinian data shows that about 80,000 homes have been destroyed in the conflict.

According to the United Nations, at least 1.9 million people across the Gaza Strip are internally displaced, including some uprooted more than 10 times. The pre-war population was 2.3 million.

WHAT IS THE INFRASTRUCTURE DAMAGE?

The estimated damage to infrastructure totals $18.5 billion, affecting residential buildings, commerce, industry, and essential services such as education, health, and energy, a UN-World Bank report said.

Gaza City has lost nearly all its water production capacity, with 88% of its water wells and 100% of its desalination plants damaged or destroyed, Oxfam said in a recent report.

HOW WILL GAZA FEED ITSELF?

More than half of Gaza's agricultural land, crucial for feeding the war-ravaged territory's hungry population, has been degraded by conflict, satellite images analysed by the United Nations show.

The data reveals a rise in the destruction of orchards, field crops and vegetables in the Palestinian enclave, where hunger is widespread after 11 months of Israeli bombardment.

WHAT ABOUT SCHOOLS, UNIVERSITIES, RELIGIOUS BUILDINGS?

A report from the Gaza Government Media Office in August enumerated the damage to public facilities. The conflict led to the destruction of 200 government facilities, 122 schools and universities, 610 mosques, and three churches.

Amnesty International's Crisis Evidence Lab has highlighted the extent of destruction along Gaza's eastern boundary. As of May 2024, over 90% of the buildings in this area, including more than 3,500 structures, were either destroyed or severely damaged.



Tomato Diplomacy Breaks Ankara-Tel Aviv Boycott with Palestinian Mediation

A vegetable seller arranges boxes of tomatoes at a market in Tel Aviv (Getty Images)
A vegetable seller arranges boxes of tomatoes at a market in Tel Aviv (Getty Images)
TT

Tomato Diplomacy Breaks Ankara-Tel Aviv Boycott with Palestinian Mediation

A vegetable seller arranges boxes of tomatoes at a market in Tel Aviv (Getty Images)
A vegetable seller arranges boxes of tomatoes at a market in Tel Aviv (Getty Images)

At the start of the war in Gaza, Israelis were angered by Turkish President Recep Tayyip Erdogan. He not only compared Israel’s military action to Nazi crimes but also called for an economic boycott of Israel.

In response, Israeli Foreign Minister Yisrael Katz announced a counter-boycott, and Finance Minister Bezalel Smotrich imposed a 100% tariff on imports from Türkiye.

Direct flights between the two countries, which had reached 40 a day during peak tourist season, were also canceled.

The trade target set by both countries to increase commerce from $9 billion in 2022 to $10 billion in 2023 fell short, dropping to $7.5 billion. Of this, $5.3 billion was Turkish imports, with the remainder being Israeli exports.

Türkiye supplied Israel with key materials, including 22% of its construction goods and 9% of its agricultural products. This left Israel’s construction sector facing a major crisis, and the agricultural sector under pressure, as Israel also relied on produce from Gaza.

The effects were felt quickly, with fruit and vegetable prices soaring, pushing inflation higher. This added to the broader economic losses Israel faced due to the war.

On his part, Smotrich confirmed that the war would cost Israel up to 250 billion shekels (around $67 billion) by 2025, echoing earlier warnings from Bank of Israel Governor Amir Yaron.

The Israeli finance minister also warned against unchecked military spending, confirming that Tel Aviv was fighting the longest and most expensive war in Israel’s history, with direct costs of 200 to 250 billion shekels (the dollar is currently 3.7 shekels).

Before the war, Israel imported about 1,200 tons of tomatoes per week from Türkiye, accounting for 30% of its consumption. When these imports stopped, a crisis emerged, as Israel’s domestic tomato production—centered in western Negev near Gaza—was disrupted by the conflict.

Israel initially imported 500 tons of tomatoes from Jordan, but it wasn’t enough to meet demand, and no other alternatives were available. As fruit and vegetable prices soared, frustrating the public, a solution quietly came from Türkiye.

After long government discussions, accusations against Erdogan were dropped, and Israel decided not to enforce a boycott. The reason became clear: tomatoes. Behind the scenes, Israel received nearly 700 tons of Turkish tomatoes in just one week, along with other goods, helping ease the crisis.

In short, both Israel and Türkiye agreed on a way to bypass the boycott. Traders in both countries, with government approval, handled the process. To avoid breaking laws or defying top officials, the goods are labeled as bound for Palestine and registered under Palestinian traders from the West Bank, who earn a hefty commission.

Typically, goods for the Palestinian Authority pass through Israeli ports. After clearing customs, Palestinian agents receive the goods and hand them over to Israeli traders. As the system became routine, Palestinian traders no longer needed to show up, and Israeli agents took over, sending the commission directly to the Palestinians.

This week, it was revealed that an August 26 order from the Ministry of Agriculture allowed Turkish tomatoes to be imported despite the ban, using a third country as a cover, as long as the route was clearly documented.

The question is: Is Türkiye’s approach unique, or are other countries also announcing boycotts but finding ways to keep ties with Israel?

Dr. Moshe Ben-David, a 72-year-old historian and former Israeli intelligence officer, argues that boycotts are ineffective today.

Ben-David, a close ally of Prime Minister Benjamin Netanyahu, believes Israel’s war costs are heavy but manageable.

Speaking in Tel Aviv, he noted that estimates from the Bank of Israel and the Finance Ministry put the total cost of the war between 2023 and 2025 at 250 billion shekels. This includes direct costs like aircraft, ammunition, fuel, food, reservist pay, and evacuations, as well as indirect costs such as tourism losses and compensation for damaged properties.

Despite this, Israel has $200 billion in reserves, and Ben-David pointed out that stockpiles of essential goods have recovered since the war began.

Israel’s GDP, now around $400 billion, is almost back to pre-war levels. Daily credit card spending, which makes up 50% of GDP, has risen by 25%, showing strong consumer confidence.

The annual yield on government bonds has also increased to 5%, slightly higher than during the COVID-19 peak, but has since stabilized.