According to Palestinian statistics, more than 4.2 million Palestinians live on the West Bank. According to a survey presented at the Sixth Herzliya Conference on Israel's National Security Level, there are 4.1 million Palestinians. According to Palestinian statistics, there are more than 1.2 million Palestinians in the Gaza Strip ‎. Palestine, as an old state in the Middle East, although suffering from occupation, still has its economy and economic institutions. Palestine's gross domestic product, including the West Bank and Gaza Strip ‎, is $ 8 billion. In this respect, Palestine is ranked 157th in the world.

Its economic growth is about 6 percent, which seems appropriate for a war-torn country. Of course, a large volume of this GDP and growth is related to the western territories of Palestine, and the Gaza Strip ‎ has less of a role in these figures. The Gaza Strip ‎ industry is often made up of family businesses that produce textiles, soap, olive wood carvings, and Pearl oyster souvenirs.

The economic output of the Gaza Strip ‎ fell by a third between 1992 and 1996. This fall has been attributed to the closure of the Gaza Strip ‎ borders by the Zionist regime and the exercise of extensive border control in response to terrorism in Palestine. As a result of the Palestinian attacks on the occupying Zionist regime, the commodity market relations that had previously been established between this regime and the Gaza Strip ‎ were disrupted. The most negative social impact of this fall has been the rise of rising unemployment.

In the following years, the Zionists' appeal to the policy of closing the borders of the Gaza Strip ‎ diminished, and in 1998, the regime implemented new policies to reduce the impact of border closures and other security measures on the entry of Palestinian goods and labor into the Zionist regime. These changes led to a three-year recovery in the Gaza Strip ‎ economy. The period of economic recovery ended in the last quarter of 2000 with the beginning of the Al-Aqsa Intifada.

The Al-Aqsa Intifada led to the closure of the Zionist regime's border by the regime's military forces, as well as the repeated imposition of restrictions on Palestinian movement in the Autonomous Region, severely disrupting trade and labor movements. In 2001, and even more severely in 2002, international unrest and military action by the occupying regime in areas controlled by the Palestinian Authority led to the destruction of the capital and executive structure, widespread disruption of trade, and a sharp decline in gross domestic product.

Another major factor in the decline in income was the decline in the number of Gaza residents allowed to enter the occupied territories. After Israel withdrew from the Gaza Strip ‎, a limited number of Palestinian workers returned to the occupied territories, but after Hamas won the Palestinian parliamentary elections in 2006, it was announced that Palestine intended to restrict their work permits or not at all. According to the CIA World Book, the Gaza Strip ‎'s gross domestic product in 2001 saw a 35 percent drop in per capita income to $ 625 a year, and 60 percent of the Gaza Strip ‎'s population now lives below the poverty line.