Israel's 'death sentence' for Gaza's economy

Hundreds of businessmen in the Gaza Strip have been complaining that the Israeli civil administration has increased the rate at which the transit permits allowing them access to Israel are being revoked, resulting in the collapse of their businesses. Maher Tabbaa, director of public relations and media at the Gaza Chamber of Commerce and Industry, told Al-Monitor that the policy could lead to Gaza's total, systemic economic collapse.

“Ever since last year, and especially since [Avigdor] Liberman entered the Defense Ministry [in May], 1,700 permits to enter Israel have been revoked,” Tabbaa claimed. “It started very slowly, but we noticed the trend over a year ago. When a merchant showed up at the Erez border crossing with a valid permit, the authorities confiscated the permit without warning and ordered him to return to Gaza. Over the last few weeks, this has turned into a flood of confiscations. Every merchant thinks that he is next and that they will revoke his permit and destroy his business, just like they did to other merchants.”

Tabbaa said that permits have been revoked for some of the most important businessmen in Gaza, including those with ties and commercial agreements with Israeli and international companies. The entire economy of Gaza, he asserted, rests on their shoulders.

Exit permits to Israel are essential to Gaza entrepreneurs, because they allow them to meet with their Israeli colleagues, check the quality of the goods they order, and negotiate import and payment agreements. Tabbaa said that without direct contact with the leading Israeli companies, it is practically impossible to run a business in Gaza. Thus revoking transit permits is, effectively, a death sentence for import and commercial enterprises in Gaza. In addition to revoking entry permits, Tabbaa said, Israel is also preventing another 200 merchants and import companies from importing goods from Israel.