In the wake of nearly two years of intense conflict, Hamas has faced significant challenges, yet it has maintained a covert, cash-based system to pay salaries to its civil service. Despite severe limitations on its military capacity and intense scrutiny from Israel, the group continues to pay around 30,000 civil servants, with disbursements totaling $7 million. Sources reveal that employees are currently receiving just over 20% of their pre-war salaries every 10 weeks, leading to growing discontent and anger among the populace as food shortages worsen.
In Gaza, the lack of a functioning banking system complicates even the act of receiving wages. Civil servants receive encrypted messages directing them to covert locations, where they can collect their salaries through discreet hand-offs. Some employees have shared their fears about the dangers involved. One worker remarked, "Every time I go to collect my salary, I bid farewell to my family, uncertain if I'll return." The risks have escalated, especially with targeted Israeli attacks disrupting these clandestine wage distributions.
One teacher, identified only as Alaa for safety reasons, described the bleak reality of receiving worn-out banknotes that even local traders refuse to accept. The dire economic situation has forced him to rely on aid in a desperate attempt to feed his family. Despite ongoing military pressure, there are indications that Hamas has stockpiled approximately $700 million in cash reserves in underground networks before the onset of significant conflict this year.
Hamas historically relied on customs and taxes from the population of Gaza, along with substantial donations from international allies like Qatar and Iran. As the economic situation deteriorates, they've been compelled to impose higher taxes on traders and inflate prices on goods. For example, the price of cigarettes has skyrocketed from $5 to more than $170 for a box of 20.
In response to the growing anger within the population, allegations have surfaced that Hamas is prioritizing aid distribution to its loyal supporters instead of the broader population suffering from food shortages. The resentment is palpable among many families, with some expressing their frustrations over perceived preferential treatment.
As the conflict continues, Hamas's financial operations and the troubling dynamics of aid distribution remain critical flashpoints, highlighting the group's ongoing struggle to maintain authority in an increasingly fractured and desperate region.
In Gaza, the lack of a functioning banking system complicates even the act of receiving wages. Civil servants receive encrypted messages directing them to covert locations, where they can collect their salaries through discreet hand-offs. Some employees have shared their fears about the dangers involved. One worker remarked, "Every time I go to collect my salary, I bid farewell to my family, uncertain if I'll return." The risks have escalated, especially with targeted Israeli attacks disrupting these clandestine wage distributions.
One teacher, identified only as Alaa for safety reasons, described the bleak reality of receiving worn-out banknotes that even local traders refuse to accept. The dire economic situation has forced him to rely on aid in a desperate attempt to feed his family. Despite ongoing military pressure, there are indications that Hamas has stockpiled approximately $700 million in cash reserves in underground networks before the onset of significant conflict this year.
Hamas historically relied on customs and taxes from the population of Gaza, along with substantial donations from international allies like Qatar and Iran. As the economic situation deteriorates, they've been compelled to impose higher taxes on traders and inflate prices on goods. For example, the price of cigarettes has skyrocketed from $5 to more than $170 for a box of 20.
In response to the growing anger within the population, allegations have surfaced that Hamas is prioritizing aid distribution to its loyal supporters instead of the broader population suffering from food shortages. The resentment is palpable among many families, with some expressing their frustrations over perceived preferential treatment.
As the conflict continues, Hamas's financial operations and the troubling dynamics of aid distribution remain critical flashpoints, highlighting the group's ongoing struggle to maintain authority in an increasingly fractured and desperate region.
