Arab leaders have approved a $53 billion reconstruction plan for war-torn Gaza as a direct counterproposal to former US President Trump’s controversial suggestion to depopulate the enclave. The decision was reached at an emergency Arab League summit in Cairo, where Egypt unveiled its ambitious plan to rebuild Gaza while preserving its Palestinian identity. Arab League Secretary-General Ahmed Aboul Gheit declared, “The Egypt plan is now an Arab plan,” emphasizing that any forced displacement of Palestinians—voluntary or otherwise—is unacceptable.
Read more: Egypt Develops Reconstruction Plan for Gaza, Countering Trump’s Proposal
In contrast to Trump’s proposal, which called for the US to control Gaza and relocate its more than two million residents to neighboring countries—an idea widely criticized as ethnic cleansing—the Egyptian initiative, detailed in a 91-page document, prioritizes both reconstruction and the political rights of Palestinians. Egyptian President Abdel Fattah al-Sisi stressed the need for a parallel political process aimed at achieving a two-state solution, although this proposal has been consistently rejected by Israeli Prime Minister Benjamin Netanyahu.
The Egyptian plan outlines a three-phase reconstruction strategy over up to five years with an estimated cost of $53 billion. The first phase, lasting six months, will focus on clearing rubble and unexploded ordnance—especially from Salah al-Din Street, Gaza’s main north-south highway—as well as building 200,000 temporary housing units and repairing 60,000 damaged buildings to accommodate 1.2 million displaced Palestinians. The second phase, spanning two years with a budget of $20 billion, will address extensive infrastructure restoration, including water systems, electricity grids, and telecommunications networks. In the final phase, projected to last two and a half years and cost $30 billion, the plan shifts to large-scale development projects such as permanent housing, an industrial zone, a commercial port, and an international airport.
A key feature of the proposal is the creation of a “Gaza Management Committee” comprised of independent Palestinian technocrats, intended to oversee governance and reduce Hamas’s influence, although the document does not specify the committee’s exact role in the transition. Meanwhile, security remains a major concern: the plan calls on the UN Security Council to consider deploying international peacekeepers to Gaza, and Egypt and Jordan have pledged to train Palestinian security forces during the transition.
Funding for this ambitious project is expected to come from Gulf states, the United Nations, and international financial institutions, although there are concerns about investing in a region repeatedly devastated by conflict. A senior Arab diplomat warned, “We may be willing to invest, but no one wants to build only to see everything collapse in another war.”
Despite broad Arab support for the reconstruction plan, the proposal faces significant opposition from Israel and its allies. Netanyahu’s government has rejected the idea of restoring the Palestinian Authority’s control in Gaza and has reiterated its support for Trump’s vision, which aligns with the long-standing stance of the Israeli far-right advocating for the depopulation of Gaza. In response to the Cairo summit, a senior Israeli official urged Arab states to break free from old constraints and collaborate to ensure long-term regional security, while Egypt’s Foreign Minister Badr Abdelatty called Israel’s position “unacceptable” and criticized its stubborn and extremist policies.
Although the Arab League’s approval of the Egyptian plan marks a major diplomatic development, its successful implementation will depend on overcoming Israeli resistance and securing robust financial commitments from international partners.