An Evaluation of the Effect of Israel-Palestine Conflict on Global Trade Relations and Middle East Investment Prospects

Student: Gift Deborah Awojide (Project, 2025)
Department of International Relations
Oduduwa University, Ipetumodu, Osun State


Abstract

This study examines the Effect of the Israel-Palestine Conflict on Global Trade Relations and Middle East Investment Prospects; Using a quantitative research design, data was collected from 152 respondents across various professional backgrounds, including trade and economic experts, business leaders, government officials, and academic researchers.
The findings reveal significant disruptions in trade volumes, commodity prices, and market dynamics, driven by heightened perceptions of risk and political instability. The conflict has notably increased market volatility and influenced foreign direct investment flows, yet the region's economies display notable resilience. The study further examines viable strategies for mitigating the conflict's negative effects, highlighting the importance of diplomatic efforts, international mediation, strategic policy measures, and regional economic integration.
The research concludes with recommendations aimed at enhancing economic cooperation, reducing economic costs, and fostering a stable investment environment. These insights contribute to a nuanced understanding of the interplay between geopolitical conflict and economic outcomes, offering practical guidance for policymakers, investors, and international stakeholders.

Keywords
Israel-Palestine Conflict Global Trade Middle East Investment Prospects Political Economy Geopolitical Analysis Market Volatility Foreign Direct Investment Economic Stability International Relations