Monday, June 22, 2020

Gaza under Israeli blockade — Its Impact on COVID-19

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Kanika Bajaj

Article Title

Gaza under Israeli blockade — Its Impact on COVID-19

Publisher

Global Views 360

Publication Date

June 22, 2020

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Empty street on Gaza Strip

Empty street on Gaza Strip | Source:Catholic Church (England and Wales) via Creativecommons.org

The Gaza Strip has faced massive destruction due to Israeli-led blockade since 2007. Israel controls all the entry and exit points of Gaza which it uses to restrict the movement of goods and people between Gaza and the outside world, effectively turning it into the “largest open-air prison” in the world. Gaza, as a result of the humanitarian crisis since the last 13 years is now one of the most densely populated yet the poorest spaces in the world. This has adversely impacted the delivery of public services, including healthcare service in Gaza strip. According to the head of the International Committee of the Red Cross (ICRC) sub-delegation to Gaza, Ignacio Casares, the health system in Gaza “is already overstretched, already at its limit,”. Daily power cuts and irregular electricity supply add on to this which forces Doctors to rely on generators during emergencies. This horrible condition was documented earlier as well in a 2017 UN Report which stated that the Gaza Strip would be “unlivable” by 2020. 

The 13 years long blockade has forced the government as well as people living in Gaza to manage the harsh conditions with the meagre resource at their disposal.  The WHO  had pointed out in a report last year that all the patients and their companions were required to apply for Israeli permits to exit the Gaza Strip for accessing the hospitals in the West Bank, including East Jerusalem, and Israel,". "Access has been particularly problematic in 2019, with the patient permit approval rate declining”. 

People in Gaza strip are now battling the COVID-19 pandemic also with the help of simple whatever meagre resources at their disposal. The healthcare and other authorities understood that they would not be able to provide the hospitalization if the pandemic broke out, so they took some immediate steps to contain the COVID-19 from the early stage. The places of large public gathering like street markets, shops, shopping malls, wedding halls were ordered to lock down by State authorities. A senior official with the Hamas movement said at a news conference that officials were considering imposing a curfew. Using the traditional methods, the authorities built more than 1000 quarantine rooms in the Gaza Strip. Palestinian Ministry of Health states that quarantine centres are established in three places: Rafah, Deir Al-Balah, and Khan Younis. More than 1000 people who came from the Israel and Egypt borders were quarantined in schools, hotels, and hospitals. 

With the increase in the number of cases, society started displaying anxiety and fear but it was overcome by mutual cooperation. The State of Palestine and its citizens has proved that the constraints cannot become an obstacle in dealing with the pandemic.

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February 4, 2021 4:48 PM

Kenyans turning to mobile loans in times of COVID-19

The economic impact of COVID-19 is felt on the personal finance of people across the world who are looking for ways to tide over the situation. In Kenya, people are lapping the short-term credit in the form of digital loans by mobile money operators. The number of people taking digital loans has doubled during the COVId-19 induced lockdown period.

Boston Consulting Group's Consumer Sentiments Survey conducted in April and May 2020 reported that "In May, 29 percent responded that they had taken out a short-term loan, compared to 16 percent in April. Mobile money operators were the most common sources of this credit”

Kenya is a pioneer in using mobile money transfer services as the key tool for providing financial inclusion to its citizens. A simple money transfer service, M-PESA launched in 2007 has transformed the financial service industry in Kenya. Today mobile money operators are providing multiple services like digital loans, marketplace for small businesses and farmers.

Digital loans are easy to process and disbursed but there are concerns of shaming the defaulters and compromising the data security of clients. The Digital Lenders Association of Kenya (DLAK) which is a body representing the digital lenders of Kenya has distanced from two of their members, Okash and Opesa over unethical practices. These mobile apps have shared the details of defaulting customers with the moneylenders and asking them to recover the money.

DLAK also stated that Opesa and Okash are known for attacking a client's data privacy which is against the Kenyan data protection laws and has additionally spoiled the reputation of digital leaders in Kenya.

In April 2020, Central Bank of Kenya barred unregulated digital mobile lenders from forwarding the names of loan defaulters to credit reference bureaus. A huge number of Kenyans have been recorded on Credit Reference Bureaus by digital money lenders for loans as little as $5.

Central Bank of Kenya governor Patrick Njoroge told during a press conference in May 2020 that the central bank in consultation with the mobile money operators and digital lenders is presently working to develop a model where the borrowers are protected from mistreatment of online moneylenders.

The borrowers are looking up to the regulatory authorities and the industry bodies to come up with a mechanism which will protect their interest in times of such a health and economic emergency.

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