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12-06-2008, 01:37 PM
World Bank warns of possible Gaza bank collapse
Sat Dec 6, 2008 12:07pm EST
GAZA (*******) - The World Bank said on Saturday Israel's tightened blockade of the Hamas-run Gaza Strip had created cash shortages that could lead to the collapse of banks in the impoverished Palestinian territory.
Gazan bank branches have been shut since Thursday because they don't have enough money to operate normally. Israel has stiffened Gaza border closures in the past month as cross-border violence rose, choking off cash supplies.
"The ongoing closure of Gaza and severe restrictions on the flow of goods and people continues to be a cause of grave concern," the World Bank said in a statement.
A "serious cash shortage had been caused by Israeli restrictions on the transfer of banknotes into Gaza," the statement said.
"The liquidity crisis could lead to the collapse of the commercial banking system in Gaza," it added, warning also that this could entail "serious humanitarian implications."Story continued.... (http://www.*******.com/article/worldNews/idUSTRE4B51FJ20081206?feedType=RSS&feedName=worldNews&rpc=22&sp=true)
Sat Dec 6, 2008 12:07pm EST
GAZA (*******) - The World Bank said on Saturday Israel's tightened blockade of the Hamas-run Gaza Strip had created cash shortages that could lead to the collapse of banks in the impoverished Palestinian territory.
Gazan bank branches have been shut since Thursday because they don't have enough money to operate normally. Israel has stiffened Gaza border closures in the past month as cross-border violence rose, choking off cash supplies.
"The ongoing closure of Gaza and severe restrictions on the flow of goods and people continues to be a cause of grave concern," the World Bank said in a statement.
A "serious cash shortage had been caused by Israeli restrictions on the transfer of banknotes into Gaza," the statement said.
"The liquidity crisis could lead to the collapse of the commercial banking system in Gaza," it added, warning also that this could entail "serious humanitarian implications."Story continued.... (http://www.*******.com/article/worldNews/idUSTRE4B51FJ20081206?feedType=RSS&feedName=worldNews&rpc=22&sp=true)