India, Dec. 3 -- Gaza faces one of the worst economic collapses in modern history, driven by war damage, blockade, and withheld funds.

With most infrastructure destroyed and people displaced, experts warn recovery will take decades without major policy shifts and sustained international support.

Gaza is going through one of the most severe economic collapses the world has seen in modern times. According to a United Nations report published in late November, the average income per person there is now just $161 (£122) a year. Before 2007, when Israel imposed a blockade of Gaza after Hamas won elections and took control of the enclave, it was close to $2,000.

This income drop has happened slowly over many years. But since the war bet...