Gazans reluctant to import from Egypt despite Hamas’ encouragement
Although Hamas reduced fees imposed on goods entering the Gaza Strip, it seems local traders are hesitant to import from Egypt, which imposes high fees on traded products.
GAZA CITY, Gaza Strip — As Hamas seeks to bolster trade between the Gaza Strip and Egypt through the Rafah border crossing to improve returns for its treasury, Gazan traders seem reluctant to import Egyptian merchandise.
Hamas’ treasury has been weighed down by an ongoing economic crisis since 2015, in part due to Egypt’s destruction of underground tunnels between Gaza and Sinai that began in 2013.
This means goods are no longer smuggled through such tunnels. Gaza traders are instead importing Egyptian goods through an informal gate near the Rafah border crossing run by Hamas.
A high-ranking source in the Hamas-run Ministry of National Economy in Gaza told Al-Monitor on condition of anonymity, “Gaza traders are increasingly reluctant to import Egyptian merchandise. As a result, revenues that Hamas makes through taxes on merchandise have dwindled.”
