Gaza war could push millions in the region into poverty, warns UN

According to another UN analysis released in early November, the West Bank and Gaza’s GDP shrank 4 percent in the war’s first month, sending more than 400,000 people into poverty. Reuters
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Updated 25 December 2023
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Gaza war could push millions in the region into poverty, warns UN

DUBAI: More than 230,000 people in countries neighboring Palestine and Israel could be pushed into poverty as the effects of the war ripples across the region, according to a UN-led assessment.

Countries in the Arab region, particularly those that form the “ring of fire” around Israel and Palestine, face a grave economic downturn thanks to the ongoing war in Gaza, according to a study carried out by the UN’s Development Program and Economic and Social Commission for Western Asia.

The report, titled “Expected socio-economic impacts of the Gaza Crisis on neighboring countries in the Arab states region,” states how Egypt, Jordan and Lebanon could see their economies regress by at least two to three years due to the ramifications of the war.

The analysis examines several possible regional spillover effects, based on lessons learned from previous conflicts in the region, including the 2003 invasion of Iraq, the 2008-2009 war in Gaza and the crisis in Syria that has been ongoing since 2011.

All these conflicts have contributed to changes in oil prices, pressures on public debt, influxes of refugees and effects on tourism and trade, among others.

These spillover effects may not have fully played out at present and there remain various risk factors to be monitored, states the UNDP report.

“The impact of the Israel-Hamas war will depend on the length and depth of the conflict as well as if it spills over into the wider region, thus drawing in other parties, resulting in international ramifications that would then have an effect on global supply chains,” Nasser Saidi, former Lebanese economy and trade minister and founder of economic and business advisory consultancy Nasser Saidi & Associates, told Arab News at the end of November.

According to the World Bank, the war has left Gaza’s economy almost at a standstill, and approximately 85 percent of workers are without jobs, says the organization.

In a recent analysis of the economic impact of the conflict, the Washington-based development organization said the Palestinian territory was operating at only 16 percent of its productive capacity and was experiencing a “deep recession.”

The economic cost of the Israel-Hamas war in Gaza on the neighboring countries of Egypt, Jordan and Lebanon in terms of loss of gross domestic product could rise to at least $10.3 billion this year and push more than 230,000 people into poverty, according to the study.

This amount could double if the conflict lasts for another six months, the UNDP report says.

“The crisis was a bomb in an already fragile regional situation ... It soured sentiment with fear of what could happen and where things are going,” Abdallah Al-Dardari, UN assistant secretary-general and UNDP’s director of the Regional Bureau for Arab States who led the study, told Reuters.

Al-Dardari, a former minister for economic affairs in the Syrian government, noted that the scale of destruction in Gaza within such a short time was unprecedented since World War II.

“To lose 45-50 percent of all housing in one month of fighting ... We have never seen anything like this ... the relationship between destruction level and time, it’s unique,” he told Reuters. 

According to another UN analysis released in early November, the West Bank and Gaza’s GDP shrank 4 percent in the war’s first month, sending more than 400,000 people into poverty — an economic impact unseen in the conflicts in Syria and Ukraine or any previous war between Israel and Hamas.

Al-Dardari told a news conference launching the November report that a loss of 12 percent of GDP for Palestinians by the end of the year would be “massive and unprecedented.”

By comparison, said Al-Dardari, the Syrian economy lost 1 percent of its GDP per month at the height of its conflict, and it took Ukraine a year and a half of fighting to lose 30 percent of its GDP — an average of about 1.6 per month.

The war arrived just as Egypt, Lebanon and Jordan were already facing severe and mounting struggles from high unemployment, fiscal pressures, impacted investment flows and slow growth. 

These countries were in the throes of recovering from the coronavirus pandemic, and Lebanon in particular remains in a dire state thanks to one of its worst economic crises and the aftermath of the Aug. 4 2020 Beirut explosion.

In an interview with Arab News earlier this month, the chairman of business giant Al-Habtoor Group admitted he is prepared to pull out of Lebanon entirely, such is the concern over the country’s economic future.

Khalaf Al-Habtoor said the value of his group’s $1.5 billion direct and indirect investments in Lebanon is now close to zero thanks to the downturn.

The country is already mired in an ongoing financial crisis and deep political instability, and the conflict at its border is threatening to further destabilize the economy. 

Across Jordan and Egypt, one area already experiencing ramifications because of the war is the tourism sector, which is now seeing a downturn reminiscent of the COVID-19-era.

In Jordan, tourism accounts for 10 percent of GDP, but since the war began, hotels and cultural tours have witnessed numerous cancellations, almost overnight.

In Egypt, the travel industry is still behind pre-pandemic figures when it comes to GDP contribution, posting 7.7 percent in 2022 compared to 8.5 percent in 2019.

The war has seen the sector take another hit, with numerous tourism bookings to popular destinations in the Sinai Peninsula, which borders Gaza, such as Taba, Nuweibeh, Dahab and Sharm El-Sheikh, canceled.

The future remains dire for the entire region, a Lebanese Beirut-based businessman told Arab News on the condition of anonymity.

“We have been at breaking point for so long,” he said, adding: “The current war, or an expanded war in the country, only exacerbates our situation. We have been living in a state of collapse for the past four years. We have gotten used to it. There is no financial sector, no government and no hope for young startups.”

The businessman added: “If Israel engages in a greater war with Hezbollah, the economic costs are worse for Israel.

“We have already been living in economic and social despair.”


Mapping Saudi soils to grow better crops

Updated 19 December 2025
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Mapping Saudi soils to grow better crops

  • Palm trees, root crops, and coastal plants reveal the land’s story

RIYADH: Saudi Arabia’s land tells stories written beneath the feet. From fertile plains and rugged highlands to vast deserts, the Kingdom’s diverse landscapes shape what can grow, where it grows, and how agriculture can thrive.

Alongside geography and climate, soil conditions play a decisive role in agricultural success. Understanding soil types across the Kingdom helps determine which crops can flourish and what interventions may be needed to sustain them.

In an interview with Arab News, Turki Almutairi, a senior environmental specialist at the National Afforestation Center under the National Center for Vegetation Cover Development and Combating Desertification, outlined the main soil types found across Saudi Arabia.

High amount of salt makes the soil unfit for the production of most crops, even if the soil is fertile. (Supplied)

“The dominant soil in the Kingdom are sandy desert soils, alongside calcareous soils in the central region. Rocky and stony soils are present along mountainous and hilly landscapes,” he said.

“Alluvial soils are common in wadies (valleys), while saline and sodic soils are located in depressions (Sabkhas) and along coastlines. Pockets of clayed soils can be also found around few sites along the Kingdom.”

The Kingdom’s vast territory gives rise to unique soil characteristics in each region, enabling different crops to grow depending on local conditions.

“Soil is the growing medium for plants. The role of soil includes structural stabilization, providing nutrients and a communication medium for plants,” Basil Nasir, soil lead at engineering consultancy William Sale Partnership, told Arab News.

Basil Nasir, soil lead at the engineering consultant company, William Sale Partnership (WSP). (Supplied)

According to Nasir, assessing soil use is essential before determining whether it is fertile or infertile, as different soils support different plant types.

“The soil used for trees differs from the soil used for ornamental plants and from the soil used for aquatic plants. It varies according to the specific needs of each plant, and based on this, we determine what the soil requires and assess its fertility,” he said.

Nasir explained that soil characteristics are shaped by both physical and chemical components. In addition to water and air, mineral particles such as sand, silt and clay are key indicators of soil health. Organic matter, derived from plant and animal remains, forms the fourth major component.

The balance between these elements determines soil behavior. One important physical trait is water-holding capacity, which influences what types of plants a soil can support.

 

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“If the soil is like dunes, adding water will cause it to run off, but if the soil is clay, its ability to retain water will be very high. If you add water and return the next day, you will find that the water is still there,” said Nasir.

Chemical properties, such as whether soil is alkaline or acidic, are equally important. Understanding both physical and chemical traits allows for proper assessment and treatment when needed.

“What determines whether a plant is suitable for a particular environment is primarily the plant's nature. For example, some plants have fibrous roots and therefore do not require well-draining soil,” Nasir added.

“A palm tree, for example, does not care whether it was planted in one soil or the other because its roots are fibrous. Therefore, palm trees are strong plants and are suitable to grow in both dry and wetlands, while preferring sandy areas.”

Soil Salinity can be treated through Soil leaching which means washing the soil with certain amount of water to reduce the salt in it. (Supplied)

Crops such as potatoes, onions, carrots and beetroots — where the edible part grows underground — typically thrive in sandy soils. As a result, plantations of these crops are commonly found in northern regions such as Hail and in Wadi Ad-Dawasir.

In the eastern region, including Al-Ahsa, wetlands are more common due to climatic conditions. Growing plants in such environments often requires human intervention.

“Plants that are coastal or could be found in lagoons or lakes must have some sort of soil around them, like lotus flowers and mangrove trees.”

“An important parameter to keep in mind is that there is no air in its soil, and they are adapted to this condition. However, the lack of air, along with the presence of organic matter, will create a situation where anaerobic bacteria react with the soil, potentially causing diseases we can easily avoid,” said Nasir.

He emphasized that removing organic matter from such soils is essential to ensure plant survival in aquatic environments.

Mountainous and rocky regions in Saudi Arabia are generally volcanic, resulting in low water-holding capacity and challenging growing conditions. However, volcanic ash contributes to high fertility, allowing certain crops to flourish.

As a result, western regions support tree crops such as coffee, mangoes, some banana varieties and pomegranates.

There are various types of soils such as clay, sandy, silty and loamy. Each type provides excellent conditions for specific plants. (Supplied)

As development accelerates across the Kingdom, soil improvement efforts are expanding under the National Greening Program.

“Soil is considered fundamental for the National Greening Program’s objectives. Understanding the soil variability along the Kingdom is a precondition for fostering sustainable soil management,” Almutairi told Arab News.

Adding, “In this line, the NGP is working towards the establishment of the Saudi Soil Information System (TURBA-KSA), which consists of mapping soils and its functional properties in the Kingdom using state-of-the-art technology.”

He also noted the creation of the “Land Rehabilitation Watch” to report, verify and monitor land rehabilitation nationwide.

“This milestone allows the Kingdom to understand how soil and land health are progressing against national and international targets of land degradation neutrality. Documenting good soil and land management practices is also important, so that those successful practices could be scaled up along the Kingdom, which is a priority task for NGP,” he said.

Raising public awareness is another key pillar of the program.

“Assessing different emerging technologies and soil amendments is a daily activity of NGP, as it then provides technical support to partners on the selection and application of these technologies.”

DID YOU KNOW?

• Saudi Arabia cultivates around 1 million hectares, mainly in Riyadh, Qassim, Hail, and Jouf.

• Farming follows the seasons: winter brings onions, garlic, and carrots, while summer yields watermelon, tomatoes, and cucumbers.

• The Kingdom is a top date producer, with over 31 million palm trees generating nearly 1.54 million tons, especially in Riyadh and Qassim.

Almutairi stressed that soil is often overlooked because it lies unseen beneath the surface, despite its critical role.

Yet soil produces 95 percent of food, stores water, holds more carbon than vegetation and the atmosphere, suppresses contaminants, regulates water, carbon and nutrient cycles, and hosts microorganisms linked to the human microbiome.

He emphasized the need to engage the general public, particularly urban communities disconnected from nature. Education helps people understand where food comes from and how contact with soil — such as walking barefoot — can support well-being. Healthy soils also contribute to cleaner water and air, he added.

Almutairi also called for stronger advocacy among decision-makers, noting that investment in healthy soils supports climate action, food security and sustainable development.

He concluded that key strategies include officially observing UN World Soil Day on Dec. 5, integrating soil education into curricula, launching annual social media campaigns, using art to raise awareness, and organizing public events that connect soils to everyday life.