Arab States Endorse Egypt’s $53 Billion Gaza Reconstruction Plan 

Arab states have adopted Egypt’s Gaza reconstruction plan, providing a potential path forward after Israel’s devastating war on the Palestinian enclave. Egypt unveiled its plan while hosting an Arab League Summit in Cairo, offering an alternative to U.S. President Donald Trump’s suggestion that the Gaza Strip be depopulated to “develop” the enclave under U.S. control—an idea widely condemned as ethnic cleansing. Unlike Trump’s plan, Egypt’s proposal does not force Palestinians to leave their land.

The plan consists of three major stages: interim measures, reconstruction, and governance. The first stage, lasting six months, requires a committee of Palestinian technocrats—operating under the management of the PA—to clear rubble from Salah al-Din Street, Gaza’s main highway. Once cleared, 200,000 temporary housing units will be built to accommodate 1.2 million people, and 60,000 damaged buildings will be restored.

The reconstruction phase, expected to take four to five years, involves building 400,000 permanent homes and restoring essential infrastructure, including water, electricity, and telecommunication networks. Gaza’s seaport and international airport will also be rebuilt. A Steering and Management Council will be established as a financial fund to support governance and oversee aid distribution. International donors will be invited to provide financial backing.

On the governance front, the plan calls for a group of “independent Palestinian technocrats” to manage Gaza, effectively replacing Hamas. The technocratic government will oversee humanitarian aid and prepare for the PA’s administration of Gaza. Egypt and Jordan have pledged to train Palestinian police forces and deploy them to Gaza, while also calling on the UN Security Council to consider authorizing a peacekeeping mission.

Egypt is seeking $53 billion for the reconstruction of Gaza, with funding spread across three phases. The first six-month phase requires $3 billion for clearing rubble and temporary housing. The second phase, spanning two years, will cost $20 billion and focus on continued debris removal, utility restoration, and additional housing construction. The final phase, costing $30 billion and lasting two and a half years, will complete housing projects, develop an industrial zone, and establish Gaza’s fishing and commercial ports along with an airport.

Hamas welcomed the reconstruction plan and previously agreed to a technocratic government. However, uncertainty remains over its acceptance of the PA’s return, as critics argue it could be perceived as re-entering Gaza on the back of Israeli military intervention. Meanwhile, Israel has dismissed the plan, stating that it fails to address security concerns following Hamas’ October 7 attack.

Arab leaders have emphasized that the initiative ensures Palestinians can “remain on their land,” rejecting any forced displacement. UN Secretary-General António Guterres backed the plan, expressing the UN’s readiness to “fully cooperate” in its implementation.

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