The Finance Ministry of the Hamas movement in the Gaza Strip imposed a 16.5% tax on West Bank products entering Gaza as of May 22. The tax was imposed on 24 products, including bottled mineral water, soft drinks and entertainment products.

The decision will further increase the already high prices of these products for the residents of the besieged enclave, amid the deteriorating economy due to the ongoing Israeli siege and repeated Israeli wars, and a poverty rate of up to 70%.

The minister of national economy in Ramallah, Khaled al-Aseeli, said in a statement May 23 that the taxes imposed by Hamas on products coming from the West Bank to Gaza are “illegal and not permissible within the same nation.”

Hamas’ decision also raised the ire of civil and human rights institutions in Ramallah and Gaza. The Private Sector Coordination Council in Ramallah, which includes several private sector institutions, denounced the new taxes in a statement May 24. “These measures would fuel the division and undermine the Palestinian economy. It would impose additional burdens on the economy and the Palestinian citizens and would negatively affect their steadfastness and survival,” the statement said.