Meanwhile, unemployment in Gaza soared last year to 44 percent – the highest level on record – hitting young women especially hard, leaving more than eight out of 10 women out of work.
A full 72 percent of all households in Gaza are struggling with food insecurity, and the number of Palestinian refugees who rely entirely on food distribution from U.N. agencies has ballooned from 72,000 in 2000 to 868,000 by last May.
The report also detailed the devastating effect of the economic blockade imposed by Israel after Hamas operatives captured an Israeli soldier in the summer of 2006 and tightened a year later after the armed group forcibly ousted troops loyal to Palestinian President Mahmoud Abbas's Fatah.
"It inflicted large-scale destruction on Gaza's local economy, productive assets and infrastructure, and affected numerous industrial, agricultural, commercial and residential facilities either directly or indirectly through debilitated infrastructure and acute shortages of inputs, water, electricity and fuel," it said.
Exports had basically been completely banned, as imports of anything besides the most basic humanitarian goods had been blocked.
The dire situation has left Gaza relying heavily on aid, but the report warned that while donor support would remain vital, it could not turn around the situation in the territory alone.