GAZA, June 23 (Xinhua) -- Sitting quietly in his home in Gaza City, Mohammed al-Haddad stares at a small bag of flour beside him. The 45-year-old father of six knows it's barely enough to feed his family for a day -- but it's all he could afford after paying exorbitant commission fees just to withdraw his salary.

"Withdrawing my salary has become extremely complicated due to soaring commission fees during the war," al-Haddad told Xinhua.

Since the outbreak of the Israeli-Palestinian conflict in Gaza on Oct. 7, 2023, the enclave's 2.3 million residents have faced a deepening economic and humanitarian crisis. Economic experts cited a number of factors, including the blockade, the collapse of supply chains, and the lack of effective oversight, that have triggered record inflation, crippled purchasing power, and left even the most basic commodities out of reach.

Jamil Abu Mahadi, a 33-year-old father of three from Gaza City, is among many Gazan residents burdened by the high cost of accessing cash.

"If I withdraw 500 U.S. dollars, I only get 250 dollars," he complained to Xinhua, saying, "That's barely enough for a day or two... The daily expenses of a small family are no less than 150 dollars."

With banks mostly shuttered and formal financial services nearly paralyzed, many residents have turned to informal brokers or money transfer offices to access their salaries or remittances -- but at a steep cost. Meanwhile, sporadic relief efforts and donations from relatives or NGOs have dwindled, strained by the blockade and long administrative delays in aid delivery.

On a street in Gaza City, Rawiya al-Ashi, a 39-year-old mother of four, said she could only afford one kilo of flour every day. "That's not enough for one meal," she said. "I no longer think about how to live; only how to get my children to sleep without hunger."

The collapse of commercial activity and border closures have plunged Gaza into what local economists describe as a "severe recession." Tens of thousands of people have lost jobs, and most small businesses have been destroyed or shuttered due to bombings, fuel shortages, or logistical collapse.

Samir Abu Mudallala, a Gaza-based economic analyst, told Xinhua that the liquidity crisis is one of the most serious aspects of the broader economic collapse.

He attributed the liquidity shortage to a near-total halt in banking operations, a lack of coordination with financial institutions in the West Bank, and the suspension of international remittances due to the ongoing blockade.

Abdul Karim Joda, a grocery store owner in Khan Younis, also spoke of merchants' difficulties. "We purchase small quantities at double the price due to the supply issues and pay high transportation fees," he said. "No one is profiting. Citizens and merchants alike are struggling."

With no clear political resolution in sight and hostilities escalating, humanitarian organizations say their ability to respond to the population's needs is declining rapidly.

Amjad al-Shawa, head of the Palestinian NGO Network, told Xinhua, "The humanitarian response is falling short of needs. We are calling for urgent facilitation of aid access and international protection for civilians, especially women and children."

He urged the international community to prioritize a ceasefire and reopen border crossings to deliver food, medicine, and fuel.

"Hunger does not wait. Diseases do not wait. And children do not understand politics," he said.