Gaza: The Palestine Monetary Authority (PMA) has highlighted a concerning cash liquidity crisis in the Gaza Strip, attributing it to the disruption of banking operations caused by the continuous Israeli attacks.
According to reports from the news agency, numerous banks have been demolished amidst the conflict, rendering it unfeasible to operate the remaining bank branches across the region due to bombings, power outages, and security risks.
The liquidity shortage has worsened as a significant portion of ATMs has become non-operational, exacerbating the financial strain on residents, as stated in a PMA statement issued on Sunday.
The authority has expressed alarm over reports of extortion activities targeting Gaza residents by certain individuals, traders, and unlicensed currency exchange shops. These entities have exploited the population’s urgent need for cash by imposing exorbitant fees, sometimes up to 15 percent, on withdrawals made via plastic cards or transfers. In exchange, they offer the remaining amount in cash.