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Crisis-stricken Hamas borrows from local banks

The Hamas movement has been forced to borrow from the local banks to fund the salaries of its 45,000 employees amid low local revenues, costly subsidies and declining Qatari financial grants.
SAID KHATIB/AFP via Getty Images

GAZA CITY, Gaza Strip — The Hamas-run Ministry of Finance is battling a new financial crisis amid declining fiscal revenues and soaring prices of most imported consumer goods in the wake of the Russian war on Ukraine.

Hamas has cut taxes on and even subsidized fuel and cooking gas supplies from Egypt, paying the price difference after their global hike. These costs and shrinking tax revenues have drained the treasury.

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