Academic Paper: Economic Policies to Address Israel’s Forced Displacement of Palestinians in the Gaza Strip (October 2023

Reading Time: 4 minutes

By: Dr. Raed Muhammad Hillis.
(Exclusively for al-Zaytouna Centre).

Al-Zaytouna Centre has published a research paper by Dr. Raed Muhammad Hillis titled “Economic Policies to Address Israel’s Forced Displacement of Palestinians in the Gaza Strip (October 2023 – March 2025).”

The Gaza Strip (GS) has witnessed a sharp escalation in Israeli policies aimed at forcibly displacing the Palestinian population. These policies have taken various forms, including military assaults, economic blockades, the destruction of infrastructure and severe restrictions on livelihoods. This strategy reached its peak during the war that began in October 2023, resulting in widespread devastation and massive internal displacement, all amid catastrophic humanitarian conditions.

These practices are part of a broader scheme aimed at undermining Palestinian resilience and pushing them toward emigration. They are unfolding in the context of political projects that seek to reshape the demographic and geographic landscape of GS; an effort identified by UN reports as a form of forced displacement prohibited under international law.

In response to this reality, there is an urgent need to formulate effective Palestinian economic policies that move beyond short-term emergency relief. A strategic approach is essential; one that reinforces resilience and supports people’s ability to remain, by investing in productive sectors, generating employment opportunities, and expanding the social protection system.

Building on this premise, the study seeks to analyze the reality of forced displacement in GS from an economic perspective, expose the underlying motives of the US-Israeli plan, and explore viable economic policies to confront it. Adopting a critical, analytical approach grounded in field data, the study aims to propose practical solutions that reinforce Palestinian resilience at this critical juncture.

In light of the profound challenges facing GS in the aftermath of the latest war, the need for economic policies that move beyond temporary relief is more urgent than ever. A comprehensive, multidimensional strategy is required—one that addresses the root causes of the crisis and lays the groundwork for a resilient, sustainable economy. The scale of destruction, the widespread forced displacement, and the systematic dismantling of Gaza’s social fabric call for integrated responses that unite humanitarian and economic dimensions, placing the protection of civilians and the reinforcement of their steadfastness at the forefront.

The study highlighted the importance of action across three interrelated timeframes: First, through urgent responses such as emergency social protection, temporary employment opportunities, and support for income-generating activities; Second, through medium-term policies focused on reconstruction, local development, and expanding the social and solidarity economy; And third, by adopting a long-term vision to build a resilient economy rooted in local production, economic sovereignty and reduced dependency.

In this context, the study emphasizes that confronting the forced displacement agenda cannot be achieved without establishing economic and social justice. One that ensures a fair redistribution of resources and actively involves marginalized groups, particularly women and displaced persons, in the processes of reconstruction and development. Moreover, enhancing the integration of economic and social policies and empowering local communities to participate in planning and implementation are two fundamental pillars for achieving sustainability and fostering a sense of ownership and belonging.

Based on the findings, the study put forward a set of concluding recommendations, summarized as follows:

• Adopt a comprehensive economic response plan encompassing immediate, medium-, and long-term interventions, developed in partnership with government bodies, civil society, and the private sector. The plan should be tailored to the Palestinian context and address systematic displacement efforts.

• Expand social and financial protection for displaced populations by reinforcing existing programs and establishing mechanisms for rapid digital cash transfers, with an emphasis on transparency and inclusivity.

• Foster economic empowerment of women and displaced persons through support for small enterprises and women-led cooperatives, the creation of job opportunities via “cash-for-work” programs, and the development of digital and vocational skills.

• Reconstructing devastated areas through a just developmental approach that ensures the safe return of residents, prioritizes the use of local resources and sustainable technologies, creates job opportunities, and reduces dependency.

• Building a resilient economy that achieves self-sufficiency by investing in agriculture and industry, providing incentives for productive enterprises, reducing reliance on the Israeli market, and enhancing the role of scientific research and innovation.

• Calling for international protection for civilians in GS, rejecting all attempts at forced demographic redistribution, demanding the lifting of the blockade, and holding the occupation accountable for its economic and social crimes.