An Israeli official report revealed that half of the Palestinians carrying an Israeli passport and living within the green line live below the poverty line. The poverty rate among Palestinians increased from 51.7% in 2013 to 52.6% in 2014.

Palestine Economy Portal

More than 1.7 million Israelis are living in poverty, 770 thousand of whom are children. The majority of the poverty-stricken are Palestinians and ultra-Orthodox Jews.

According to the report issued by the National Insurance Institute, the percentage of families living in poverty in Israel increased from 18.6% to 18.8% in 2014. Poverty rates among children rose from 30.8% to 31%.

This increase in poverty rates resulted from slow economic development, high unemployment rates, low inflation, and the reduction in child allowances, which affected the income of the families.

This data, showing that poverty rates in Israel reached 18%, ranks Israel as the second-poorest country in the OECD, behind Mexico.

The Palestinians in Israel are the descendants of 160 thousand Palestinians who stayed on their land after the establishment of Israel. They currently form 20% of the overall population in Israel.