Economy in ruins, hope intact: The human cost of Israel’s war on Jenin

Jenin, occupied West Bank - In a small barbershop in the heart of Jenin, as battered and resilient as its 68-year-old owner, Adil Abu al-Hayyan prepares to cut a customer’s hair—one of the few who have managed to reach his shop despite the suffocating Israeli military siege that has effectively gripped the city since January 21.

Abu Ali, a regular customer, has been coming to Ramses Barbershop since his youth. Despite the dangers of movement across Jenin, the 66-year-old insists on having his hair cut only at this shop. Inside, three other men wait for their turn—not just longtime customers, but reminders of a community refusing to vanish under occupation.

The shop, a city landmark since the 1950s, suffered extensive damage during an Israeli raid in September 2024. Now, bulldozers have once again shattered its exterior walls and glass windows. Its thinning stream of clients and shrinking earnings also reflect the big blow repeated Israeli assaults on the city -- and the whole of occupied West Bank -- have had on the Palestinian population since October 7 2023. Jenin, once vibrant, now echoes with the emptiness of a city under siege.

"It cost me nearly 27,000 shekels ($7,500) to repair the damage last time," Abu al-Hayyan says. "On the second day of this latest operation, Israeli bulldozers destroyed my shopfront again. Just the glass windows alone cost about 6,000 shekels ($1,600)."

Yet, despite the ongoing military operation, he reopened his barbershop. For Abu al-Hayyan, it isn’t just about survival—it's an act of defiance, a way to support his family of 11 and his sister, who relies on him.

"This morning, my sister asked me to pay her electricity bill," he says. "It was only 50 shekels, but I didn’t even have that. Now, after these haircuts, I can at least pay for her electricity."

Jenin’s streets lie eerily silent, interrupted only by the roar of Israeli military vehicles and the thunder of explosions from home demolitions in the refugee camp. "For the past 16 days, I’ve barely had any customers," he says. "Those who do want a haircut call me first to check if it’s safe to come."

The occupied city's Israel-dependent economy is suffering. Unemployment has tripled, since October 7, 2023, reaching 35%, while 96% of businesses reported decreasing activity, and 42% had to reduce their workforce.

Surging unemployment has led to “an estimated daily labour income loss of $25.5 million, severely eroding the economic resilience of Palestinian households and exacerbating social hardships,” according to a September report by UNCTAD.

Business in paralysis

Just a few metres away from Ramses Barbershop, Moayyad al-Amer opens his clothing store for the first time in two weeks. Inside, unsold winter clothes piled up on shelves, untouched by customers – a silent inventory of a lost season.

Al-Amer, 52, owns three clothing stores in Jenin, but for weeks, he's had no customers.

"I’ve never seen an economic crisis like this, not even during the First Intifada," he says. "Back in 2002, during the Battle of Jenin, the Israeli army destroyed much of the refugee camp. The fighting lasted 11 days, but at least the siege wasn’t as prolonged as this."

According to al-Amer, his stores have effectively been shut down for 62 days. Located near the entrance to Jenin refugee camp, his business had already suffered due to clashes in the area before the full-scale Israeli incursion. Now, the entire city’s market has collapsed.

Al-Amer estimates his losses at around 300,000 shekels ($83,000).

"If this situation continues, traders won’t be able to prepare for the next sales season," he said. "Spring collections and Eid fashion are supposed to arrive now. But how can we sell if the streets are empty?"

Beyond lost sales, business owners are struggling with mounting financial obligations. "The Turkish suppliers who send me stock need payment. If I can’t sell my current inventory, I won’t be able to pay for new shipments," he explains.

A city silenced

Jenin’s once-bustling commercial centre now feels abandoned. The lively calls of vendors and haggling customers—has been drowned out by the ominous hum of Israeli surveillance drones and the chilling echoes of explosions.

"This is worse than the COVID-19 lockdowns," says Hussein Abu Salama, 34, the owner of Eva Fashion, a well-known women’s clothing retailer in Jenin.

Hussein runs two stores and has a strong presence on social media. Facing a near-total loss of winter sales, he sought alternative ways to keep his business afloat.

"After 10 days of closures, I asked people on Instagram and Facebook if they’d be open to online shopping," he tells TRT World. The response was positive, so he began offering discounts to attract buyers.

"This method helps reduce our losses, but only slightly. February is usually one of the best months for retailers because we transition from winter to spring stock, with clearance sales leading up to Eid," he explains.

But Hussein isn’t just worried about himself. His stores employ 10 workers who support entire families. "If the shop is closed, they don’t get paid. Since COVID, most Palestinian workers rely on daily wages, not monthly salaries."

His attempt to sell online was met with criticism by others who accused him of ignoring the collective grief.

Since the beginning of 2024 more than 70 Palestinians have been killed by Israeli gunfire across the occupied West Bank.

"I live here too, and I share their pain. But I also have obligations—my rent is 50,000 shekels ($13,000) a month, and my current stock is worth about 350,000 shekels ($97,000). If I don’t sell, I won’t be able to stay in business," he says.

Millions in losses

Jenin’s Chamber of Commerce estimates that the city’s economic losses are mounting at an alarming rate.

"If a clothing store normally makes 1,000 shekels in daily sales, and there are about 1,500 stores in Jenin’s centre, then in 15 days alone, the total loss exceeds 24 million shekels ($6.67 million)," Mohammed Kamil, the chamber’s director, tells TRT World.

"And that’s just for clothing retailers," he adds. "We’re not even counting losses from cafés, grocery stores, pharmacies, and bookshops."

According to the Palestinian Ministry of Economy, Israel’s relentless raids and checkpoints have pushed the Palestinian economy into freefall, contracting by 28 percent in 2024 alone. The occupation isn't just stealing land; it stealing futures.

Kamil warned that the longer the invasion continues, the deeper the crisis will become. "These losses cannot be recovered. If this siege persists, we need serious planning to address the economic devastation."

This piece was published in collaboration with Egab.