Gaza Strip conceived partly as an Arab League attempt to limit the influence of Transjordan in Palestine. The All-Palestine Government was quickly recognized by six of the then seven members of the Arab League: Egypt, Syria, Lebanon, Iraq, Saudi Arabia, and Yemen, but not by Transjordan. It was not recognized by any country outside the Arab League. After the cessation of hostilities, the Israel–Egypt Armistice Agreement of 24 February 1949 established the separation line between Egyptian and Israeli forces, and established what became the present boundary between the Gaza Strip and Israel. Both sides declared that the boundary was not an international
Gaza Strip closures decreased over the next few years. In 1998, Israel implemented new policies to ease security procedures and allow somewhat freer movement of Gazan goods and labor into Israel. These changes led to three years of economic recovery in the Gaza Strip, disrupted by the outbreak of the al-Aqsa Intifada in the last quarter of 2000. Before the second Palestinian uprising in September 2000, around 25,000 workers from the Gaza Strip (about 2% of the population) worked in Israel on a daily basis. The Second Intifada led to a steep decline in the economy of Gaza, which was heavily reliant