Palestine*

2024 developments at a glance

🏛️Political and economic landscape: in 2024, political and economic challenges were largely shaped by the conflict in Gaza, which began in October 2023, and has led to unprecedented levels of devastation. The country’s GDP has contracted by 35%, while unemployment has surged to 74% in Gaza and 29% in the West Bank.  An estimated 500,000 jobs have been lost. Additionally, around 625,000 students have had little to no access to education or training since the conflict began;

🎓 Education: since the conflict began, around 95.2% of schools in Gaza have sustained some level of damage to their buildings (direct hit, damaged, and likely damaged, source UN OCHA update #7, 19 December 2024).  In the West Bank, mobility and security concerns have forced public schools to reduce in-person learning. If hostilities continue until 2026, students could face up to five years of lost education. Despite these challenges, efforts on the ground aim to maintain a minimum level of educational activities, with initiatives like the UNRWA Digital Learning Platform playing a crucial role. The European Joint Strategy 2021-2024 continues to guide European development partners in supporting the Palestinian Ministry of Education to provide safe, inclusive, and gender-responsive access to quality education; 

🏫 Vocational education and training (VET): although VET enrolment has historically been low, its prioritisation has led to a positive trend, with 3.8% of upper secondary students choosing vocational education in 2021, up from 2% in 2015. Despite the Gaza crisis, by 2024, VET graduates appear to have better job prospects than university graduates, though quality and relevance challenges continue to hinder a smooth transition to the labour market. The National Development Policies 2021-2023 emphasised expanding VET with greater private sector involvement leading to the launch of new flexible, demand-driven training programmes; 

✅VET governance: to streamline governance, the National TVET Commission (NTC) has overseen VET strategy and policy-making since 2021. It works alongside the ministries responsible for VET provision and the Sector Working Group (SWG) to coordinate efforts with donors, development agencies, and businesses. To enhance labour market alignment, the NTC is establishing National Sector Skills Councils, with a pilot council, The Renewable Energy Sector Skills Council, already launched;

💼 Labour market and employment: in 2022, Palestine’s overall unemployment rate was 23.8%, with stark regional disparities – 47% in Gaza and 13% in the West Bank.  A large proportion of the workforce is informally employed, and skills mismatches between educational qualifications and labour market demands persist. Youth unemployment remains high, reaching 65% in Gaza and 24% in the West Bank. Additionally, a significant gender gap in workforce participation continues, with only 18.9% of women active in the labour market compared to 71.1% of men. The Labour Sector Strategy 2021-2023 and the National Employment Strategy 2021-2025 prioritised employment and skills development as key drivers of socio-economic progress.  Before the conflict, many Palestinians sought job opportunities in Israel due to local labour market constraints. It remains uncertain whether they will be able to return post-conflict; 

💻 Digital skills development: The National Development Plan 2021 prioritises digital transformation, and despite challenges, digital education initiatives – such as the Palestinian eSchool Portal – have expanded. International donor projects are also working to enhance digital literacy and bridge the digital divide. A recent ETF report highlights the crucial role of digital skills in enabling young Palestinians to access online platform work, which is especially important given the mobility restrictions caused by the occupation. However, most online workers remain in the informal sector, lacking work benefits and social protections, underscoring the need for policy actions that improve their working conditions;

🤝 Resilience, recovery and reconstruction: efforts to sustain education amid the crisis have included temporary learning spaces (TLS) and community-led learning programmes.  However, ongoing hostilities have stalled their expansion. In higher education, initiatives such as the Technical Education Support for Higher Education Students project (TESI) have enabled Gazan students to continue their education remotely. Additionally, several EU, UN, and bilateral initiatives are working to support skills development, employment, and entrepreneurship as part of recovery efforts. Examples include the Youth Employment Programme (YEP), the EU’s EPISODE programme (enhancing digital social entrepreneurship), and the World Bank’s Finance4Jobs (job creation through enterprise development).

Priorities for 2025:

👉 Palestine’s education, training, and employment sectors are at a critical crossroads, facing unprecedented disruption caused by the Gaza conflict. Yet, VET expansion, digital education, and policy reforms present opportunities for resilience and economic recovery.

👉For a sustainable recovery, the restructuring of the education and VET system must align with Gaza’s humanitarian, reconstruction, and development needs. Developing human capital should be a cornerstone of the rebuilding efforts.