The Gaza Strip’s battered economy has given rise to an unexpected, almost surreal cottage industry: banknote repair. In markets across Gaza, young people like Baraa Abu al-Aoun have traded textbooks for rulers, glue, and colored pencils, painstakingly reviving battered shekel notes. But this story is much bigger than a quirky survival tactic—it’s a window into the extraordinary economic pressures faced by Gazans, and the ingenuity sparked by desperation.
Let’s dig into why this phenomenon matters—and what most outside observers might miss.
Why This Matters
- Cash is the backbone of daily life in Gaza—especially now, with digital infrastructure weak and trust in banks shaken to the core.
- The crisis reveals the fragility of financial systems under siege. With banks destroyed, looted, or simply inaccessible, even a single tattered banknote becomes a lifeline for families teetering on the edge of survival.
- This is a real-time case study in economic resilience. Gazans are improvising solutions at every level, from street-corner banknote restoration to a surge in e-wallet adoption.
What Most People Miss
- It’s not just about cash—it’s about dignity and agency. For many, being able to use tidy, acceptable money is a way to maintain a sense of normalcy in an otherwise upended life.
- The rise in e-wallets isn’t just a tech upgrade—it’s a necessity. Over 500,000 people now use mobile money in Gaza, sometimes without smartphones or internet, thanks to simple text-based solutions. This leapfrogs traditional banking and is being turbocharged by humanitarian agencies like UNICEF and the World Food Programme.
- Market disruption has created a shadow economy. Money merchants charge up to 50% commission just to turn digital money into usable cash—a staggering tax on the already impoverished.
Key Takeaways
- Staggering Unemployment: Four out of five Gazans are now jobless, according to the UN.
- Cash Shortage: Israeli policy has choked off cash inflows, fearing funds will support Hamas. Combined with bank destruction and looting (around $180 million reportedly stolen), this has paralyzed the local economy.
- Sky-High Inflation: Prices for basics are out of reach—$80 for a few kilos of tomatoes. Even if you have money, accessing it means waiting in endless lines or losing half its value to commissions.
- Humanitarian Adaptation: Aid groups are now sending money directly to e-wallets, prioritizing families with children, amputees, and pregnant women. But the need far outpaces the aid.
Timeline: Gaza’s Financial Collapse
- 2023: Hamas-led attack triggers Israeli strikes; bank infrastructure destroyed.
- Early War: Bank vaults looted; cash transfers into Gaza halted.
- Present: Ceasefire allows some banks to reopen, but ATMs remain offline. E-wallet and money merchant activity surges.
Pros and Cons: E-Wallets vs. Cash
| E-Wallets | Cash |
|---|---|
| + Secure, traceable | + Universally accepted (when available) |
| + Can be used without internet | – Shortage makes it precious |
| – Requires registration, some tech literacy | – Damaged notes often rejected |
| – Limited to participating merchants | – Physical risk of loss/theft |
Expert Commentary & Perspective
“In Gaza, we’re just surviving. We’re not human beings anymore.” — Baraa Abu al-Aoun, banknote repairer
This isn’t just a story about money. It’s about how, when systems collapse, people invent new rules for survival. The fact that repairing old banknotes is now a profession tells us everything about the sheer creativity—and desperation—unleashed by war and blockade.
The Bottom Line
Gaza’s money fixers are a symbol of a society in crisis—but also of its refusal to give up. Until there’s systemic change, these everyday acts of resilience will remain the only safety net many Gazans have.
