Palestine Economic Update
Palestine Economic Update - September 2026
author: Palestine Economic Policy Research Institute - MAS
year: 2026
Key Insights
- Public finances remain in severe crisis, driven primarily by Israel’s continued withholding of clearance revenues since May 2025.
- Israeli banks postponed the termination of correspondent banking relationships until end-2026, providing temporary relief amid mounting monetary pressures and persistent structural vulnerabilities.
- Rising Israeli settler violence in the West Bank is increasingly destroying productive assets, restricting access to land and water, raising production costs, displacing communities and undermining livelihoods and broader local economic activity.
- The expansion of electronic and non-exchange trading in Palestine is widening investment options while increasing the need for investors to understand the associated ownership rights, costs, leverage risks and regulatory protections.