Gaza is experiencing a severe shortage of physical cash, forcing merchants to prioritize electronic payments for daily transactions. This crisis stems from the deterioration of existing banknotes and a lack of new currency circulation. While digital banking applications and e-wallets have emerged as alternatives, their use is hampered by unreliable internet access, frequent power outages, and technical glitches within banking services. Consequently, bartering is resurfacing as a necessity for many residents. Palestinian economic experts attribute the situation to broader economic challenges. The situation is occurring alongside continued Israeli expansion of the "yellow line" border restrictions.

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