The unemployment rate in Gaza is 47% and more than 80% of its population lives in poverty, according to the United Nations. Hamas, however, has funded an armed force of thousands equipped with rockets and drones and built a vast web of tunnels under Gaza. Estimates of its annual military budget range from $100 million to $350 million, according to Israeli and Palestinian sources.
As the U.S. House and Senate will be asking in separate hearings Wednesday and Thursday, where does all that cash come from?
Since coming to power in the Gaza Strip 17 years ago, Hamas has filled its coffers with hundreds of millions in international aid, overt and covert injections of cash from Iran and other ideological partners, as well as cryptocurrency, taxes, extortion and smuggling, according to current and former U.S. officials and regional experts.
Much of the money is public and legal, including large sums of financial aid from Qatar via the United Nations, an arrangement encouraged and approved by Israel. The Qatari aid covers the salaries of civil servants, buys fuel for the power grid and provides cash to needy families.
Some of it is less than legal, according to experts. In addition to levying taxes on Gaza’s businesses and residents, Hamas imposes unofficial fees on smuggled goods and other activity, for a combined income of up to $450 million per year. Hamas also has real estate and other investments around the globe, despite international restrictions, and uses cryptocurrency…
