PMA Business Cycle Index (PMABCI) – April 2025

Significant decline in the overall index

The results of the Palestine Monetary Authority’s Business Cycle Index (PMABCI) indicated a notable decline in the overall index for Palestine during April 2025, falling to approximately -24.4 points in April 2025, compared to -13.4 points in March 2025. This downturn is attributed to growing regional uncertainty and the continued unprecedented Israeli aggression against both the Gaza Strip and the West Bank.

The overall index for the West Bank declined sharply, from -3.0 points in March 2025 to -12.6 points in April 2025. Most sectors experienced a drop, as reflected in the industry index declined (from 0.1 to -1.7), the trade index fell (from -5.6 to -6.7), the construction index dropped (from 0.7 to -2.1), the agriculture index decreased (from 2.0 to -0.5), and the transport and storage index slipped (from -0.1 to -0.9). Meanwhile, the renewable energy index remained stable at -0.1 points, and the telecommunications and information technology index held steady at -0.7 points.

Overall, business owners surveyed in the West Bank reported declines in production levels, sales, and inventory, along with negative expectations regarding production and employment over the next three months.

In Gaza, the collapse of ceasefire and the renew of Israeli aggression have led to a new wave of killing, destruction, and almost complete halt to all economic activities. Given the extremely challenging economic conditions, the Gaza Strip’s index is expected to decline again to its lowest levels, approaching -100 points.