Israel’s war on Gaza caused $49 billion in destruction in one year

Gaza (QJ) – The reconstruction of Gaza will require over $50 billion after 15 months of intense war with Israel, according to a new assessment by the United Nations (UN), the European Union (EU), and the World Bank.

The report, “Gaza & West Bank Rapid Damage and Needs Assessment (IRDNA),” published on Tuesday, estimates that Israel’s war on Gaza caused $49 billion in destruction between October 8, 2023, and October 8, 2024.

The total cost for recovery and reconstruction over the next 10 years is estimated at $53.2 billion, with $20 billion needed in just the first three years. More than half of the total cost ($29.9 billion) is required for rebuilding destroyed buildings and infrastructure, while housing reconstruction alone will take $15.2 billion.

The report highlights that housing suffered the most damage, making up 53% of total destruction, with over 292,000 homes either destroyed or severely damaged.

Additionally, $19.1 billion is required to restore essential services and economic sectors, including healthcare, education, commerce, and industry, all of which have suffered severe damage. 95% of Gaza’s hospitals are currently non-operational, and the local economy has shrunk by 83%.

The assessment follows an earlier UN, EU, and World Bank report from April 2024, which estimated $18.5 billion in losses after just four months of fighting.

Years of demining unexploded ordnance and clearing millions of tons of rubble will also be required as part of the reconstruction process.

This report comes amid a fragile ceasefire between Israel and Hamas, with Israeli forces accused of repeated violations since it took effect on January 19.