Fuel price hikes in West Bank deepen economic pressure on Palestinians-Xinhua

Fuel price hikes in West Bank deepen economic pressure on Palestinians

Source: Xinhua

Editor: huaxia

2026-04-06 21:47:45

RAMALLAH, April 6 (Xinhua) -- Across the West Bank, rising fuel prices are straining drivers, businesses, and households alike, leading to longer waits at gas stations and higher costs for essential goods and services.

Residents and economists say the hike is linked to the ongoing Israel-U.S. war against Iran, which has disrupted regional energy markets and pushed global oil prices higher.

"This has been ongoing for over a month. We are having difficulty obtaining fuel," Abdullah Numan, a Ramallah-based taxi driver, told Xinhua while waiting at a gas station.

Palestine's economic reliance on Israel amplifies the impact of regional crises, according to Shaker Khalil, a Ramallah-based economist.

"Any increase in Israeli fuel prices, which are influenced by global market fluctuations following the Israel-U.S. conflict with Iran, is quickly passed on to Palestinian markets," Khalil said.

"Diesel prices have risen by about 40 percent, gasoline by 15 percent, and cooking gas by 25 percent," he added. "The increase raises transportation, production, and distribution costs, meaning households ultimately pay more for essential goods and services."

Muhannad al-Akhras, a gas station owner in the northern West Bank city of Nablus, told Xinhua that the Palestinian Authority purchases fuel directly from Israeli companies at prices linked to global markets, then sells it to local stations.

"The Palestinian Authority often faces financial losses in this process, which could otherwise be offset by the tax revenues Israel collects on behalf of the Palestinian Authority," he said.

However, Israel has withheld a significant portion of these revenues for nearly a year, turning those losses into a growing financial burden for the Palestinian government, he added.

Rising fuel costs are hitting more than just gas stations and transportation. In southern West Bank cities, residents say higher prices are now appearing in their everyday shopping.

In Hebron's al-Zawiya market, 35-year-old mother Ghaydaa Jumaa described how her family has been adapting to cope with rising prices.

"Bread prices have increased, because bakeries now rely on gas for production," she told Xinhua.

"Fruits, vegetables, and most other goods are also more expensive. We've reduced our purchases -- for example, we now buy only half a kilo of tomatoes instead of a full kilo and limit the types of fruit we buy," she said.

Jumaa added that her husband no longer drives to work and instead relies on public transportation to reduce fuel expenses. "Even small savings make a difference," she said.

Suleiman Mohsen, a merchant in the northern West Bank city of Jenin, told Xinhua that the rising fuel prices are affecting the entire supply chain.

"Trucks transport products from farms, factories, and warehouses. When fuel costs rise, so do the prices of vegetables, clothes, and industrial materials such as plastics," he said.

"Factories have begun increasing their prices by about 15 percent, further reducing household purchasing power," he added.

Majdi al-Hassan, director of the Petroleum Authority at the Palestinian Ministry of Finance, told Xinhua that before the conflict, about 4 million liters of fuel were supplied daily. Despite the war, deliveries now still exceed 3.5 million liters, a level within the normal supply range.

He noted that while supply levels remain under control, rising costs in global and Israeli markets continue to push local prices higher.

Drivers like Numan say they are adjusting their work routines to cope with the rising costs. "We try to combine trips and avoid unnecessary driving," he said.

"But the queues, the rising prices, and the uncertainty make every day more difficult. The regional conflict has made fuel prices more volatile and expensive, adding new pressure on an already fragile Palestinian economy," Numan said.