World Bank report says Gaza economy nearing collapse, blames war, blockades and bad governance

JERUSALEM – A new World Bank report warns that Gaza's economy is on the "verge of collapse."

It said Friday that "blockades, war and poor governance have strangled" the economy of the Gaza Strip, ruled by the Islamic militant group Hamas.

The report said Gaza's GDP would have been four times higher if not for conflicts and restrictions, including a blockade in place since 2007.

Israel and Egypt imposed the blockade on Gaza after Hamas violently seized the territory from forces loyal to the Western-backed Palestinian President Mahmoud Abbas. Since then Hamas has fought three wars with Israel.

The report said about 43 percent of Gaza's 1.8 million residents are unemployed. Youth unemployment reached about 60 percent by the end of last year, it said.