Palestinians in Gaza are struggling to rebuild their lives amidst scarcity of essentials: food, clean water, medicine, and money.
On Sunday, the reopening of two bank branches sparked a rush of customers, but they were soon disappointed.
“The Bank of Palestine reopened today, so I went to the Deir al-Balah branch right away,” said Ahmad Abu Foul, 38, from Khan Yunis in southern Gaza.
“I hoped to withdraw my salary, inaccessible for so long, but there was no money,” he explained.
Forced from his northern Gaza home by conflict, Abu Foul renewed his credit card, but funds were unavailable.
“What can we do? We can’t shop or access our accounts. How will we survive?” asked Taysir Abu Shabak.
Two years ago, after a significant Hamas attack led to a severe Israeli counterattack, cash began to dwindle in Gaza.
Banks operated when possible, but following a truce breakdown in March, they ceased operations. A bank director mentioned Sunday’s reopening was the first since then.
Israeli currency remained in a closed loop of small transactions, becoming so worn over time they became unusable.
Last month, UN experts criticized Israel’s “financial stranglehold.”
“Most banks and ATMs are destroyed. Israel halted new currency flow,” they noted, warning of soaring inflation.
“Digital payments are hindered by power and telecom disruptions.”
Last week, amid US pressure, Israel and Hamas agreed to a ceasefire, allowing two Bank of Palestine branches to reopen on Sunday.
Queues formed, but no cash was available.
“Gaza’s money is worn out,” a Bank of Palestine official, preferring anonymity, told AFP.
“People use pre-war cash and a ‘friend-to-friend transfers’ app due to liquidity issues.”
For months, tattered banknotes have been patched in markets.
Food is bought with cash or bank transfers, complicated by power and communication issues.
Another bank official, also preferring anonymity, said Gazans have lost substantial savings, with transfer fees reaching 40%.
– Cash in Tunnels –
In February 2024, Israeli military released videos of safes and bags containing large sums in Israeli shekels, US dollars, and Jordanian dinars.
The military claimed they were found in Gaza tunnels, alongside documents suggesting cash transfers from Iran to Hamas.
Yet, most Gazans still face empty pockets.
“I thought I’d withdraw funds once the bank reopened today. I was hopeful,” said Mahmud Nassar, 40.
“But there was no cash,” he told AFP.
“We’re back to square one, relying on merchants charging excessive fees, draining us.”
Nada Abu Amra, 33, from Deir al-Balah, was near despair.
“My husband tried to withdraw money today, but found none. The bank reopened, but liquidity is absent,” she said.
“People are exhausted. All they want is to withdraw just 100 shekels without commission, enough to buy food.”
