West Bank and Gaza - Country Commercial Guide
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Total spending on healthcare is heavily influenced by international donors’ support for specific health projects carried out in the West Bank and Gaza. The sector faces tough challenges related to the Palestinian Authority’s (PA’s) inability to pay local Palestinian suppliers of medical equipment and pharmaceuticals; it is estimated that the PA owes those suppliers around $100 million, with some arrears stretching back to 2017. In 2022, the United States announced a commitment to provide $100 million in support to the East Jerusalem Hospital Network (EJHN) as it continues to provide necessary and life-saving treatments to tens of thousands of Palestinians.

Most of the Palestinian population relies on medical services provided by public hospitals that are run by the Palestinian Ministry of Health under a general health insurance program. The Ministry is in charge of providing all medical equipment and supplies, but the costs are entirely paid for by international donor funds, such as the World Bank Emergency Services Support Program, the European Union (EU), United Nations agencies, NGO’s, and the Islamic Bank for Development. The total number of public, private, and NGO hospitals in the West Bank and Gaza is 81, and the total number of beds is 5,939.

The overall healthcare market in the West Bank and Gaza is currently estimated at $100 million. Spending is concentrated on medical capital equipment, medical supplies, lab equipment, and disposable lab supplies. There is no domestic production of medical equipment and supplies (with the exception of local pharmaceutical manufacturing), so as a result Palestinians heavily depend on imports. The U.S. share of the market is roughly 15% of the total. Germany, the United Kingdom, and Japan are the primary sources of imports, followed by Turkey and other European and Asian countries, the United States, and Israel. Recently, more imports of healthcare disposables have been coming from India.

There are no import duties on U.S.-made goods entering the West Bank and Gaza, but they are subject to a 16% value-added tax (VAT). Israeli and Palestinian Ministry of Health approvals and registrations are required prior to shipping for any pharmaceuticals, medical equipment, or device that to be imported into the West Bank and Gaza.

Leading Sub-Sectors

  • Medical disposables
  • X-Ray machines
  • Surgery equipment
  • MRI devices
  • Dialysis machines


The Palestinian Ministry of Health issues tenders twice a year to procure pharmaceuticals, medical equipment, and supplies. Only prequalified Palestinian importers/distributors are allowed to make bids.


Palestinian Ministry of Health

For further information, please contact:

Assad Barsoum, Senior Commercial Specialist, Assad.Barsoum@trade.gov