Arab League backs Egypt’s $53bn Gaza reconstruction plan – without Palestinian resettlement

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Participants of the Arab League’s emergency summit in Cairo agreed to support Egypt’s ambitious plan to rebuild the war-torn Gaza Strip. According to Reuters, the $53 billion project envisages the complete restoration of the region without the forced resettlement of Palestinians to other countries.

Egyptian President Abdel Fattah al-Sisi announced the decision on 4 March, stressing that the plan is fundamentally different from the initiative of US President Donald Trump, who had previously proposed “turning Gaza into a riviera of the Middle East” with the possible resettlement of the population to neighbouring Arab states.

“True peace is impossible without the establishment of a Palestinian state. Peace cannot be imposed by force,” al-Sisi said, calling on international partners to help finance the reconstruction of Gaza.

What does the Egyptian plan envisage?

According to UN estimates, the war has left more than 50 million tonnes of destruction in Gaza, and more than 70% of buildings have been damaged or destroyed. The Egyptian plan is designed to last for five years and provides for:

– Initial phase (first 6 months): debris removal and temporary housing, estimated cost – $3 billion.

– Construction of 200,000 housing units within two years and another 200,000 in the following years.

– Creating infrastructure: an airport, industrial zones, hotels, parks and facilities for three million residents by 2030.

Saudi Arabia and the United Arab Emirates have a special role in funding. An administrative committee of Palestinian experts has been formed to manage the project, which will temporarily coordinate humanitarian aid and manage the sector until the return of the Palestinian Authority.

Reactions to the plan

The radical Hamas movement welcomed the Egyptian initiative, while the Israeli Foreign Ministry criticised the summit declaration for the lack of condemnation of Hamas terrorist attacks and references to the Israeli victims.

Trump’s controversial idea

A month ago, Donald Trump, during a meeting with Benjamin Netanyahu at the White House, proposed that the United States should take control of Gaza to fully demine the region and turn it into an “economic gem” of the region. Trump announced the creation of thousands of jobs and a global investment project.

However, this proposal was harshly criticised in the United States and Europe. US Democratic Senator Chris Murphy bluntly stated that “the president has lost his mind”, and the Arab world perceived the idea as an attempt to change demographics and displace Palestinians.

Against the backdrop of these statements, the Egyptian plan is perceived as an alternative scenario for stabilising the situation without coercion and interference from external forces, with a focus on long-term reconstruction and preservation of the Palestinian presence in Gaza.