"BETHLEHEM, West Bank -- For the past two Christmases, John Juka's family restaurant looked about the same as any business in Bethlehem: shuttered and eerily empty. NOTE: The video is from a previous report. But on Saturday evening, it bustled with families and was lit by strings of red lights, a hopeful change in the Palestinian city that's been reeling since war broke out in Gaza. Palestinians take part in a Christmas tree-lighting event in Manger Square ahead of Christmas in the West Bank city of Bethlehem Saturday, Dec. 6, 2025."
"That economic lifeline vanished when war broke out in Gaza following the Hamas-led Oct. 7, 2023, attack on southern Israel. Bethlehem's authorities canceled major Christmas celebrations during Israel's retaliatory offensive in Gaza, whose health ministry has reported over 70,000 Palestinians killed. At the same time, Israel's military scaled up operations in the West Bank, including communities near Bethlehem. The unemployment rate in the city jumped from 14% to 65%, the mayor said."
Christmas celebrations are gradually returning to Bethlehem as families gather for events such as a Christmas tree-lighting in Manger Square. Restaurants and shops showed renewed activity after two years of closures, signaling a partial restoration of normal life. Tourism and religious pilgrimages historically drive the local economy, supporting around 80% of the city's residents and creating ripple effects across the West Bank. Those revenues vanished after the Oct. 7, 2023 Hamas attack and Israel's subsequent offensive in Gaza, accompanied by expanded Israeli military operations in the West Bank. Unemployment in Bethlehem rose from 14% to 65%, and Palestinians express guarded hope amid a shaky ceasefire.
Read at ABC7 Los Angeles
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