Gaza Recovery Plan Proposed
Board of Peace Proposes $2.45 Billion Recovery Plan for Gaza Amid Implementation Hurdles
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Key Points
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The proposed budget allocates about $400 million for temporary shelters and $275 million to remove rubble and unexploded ordnance—specific allocations not detailed in the summary.
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The plan calls for a permanent hardened facility in Rafah capable of housing up to 5,000 personnel from the International Stabilization Force, while $120 million would fund the mobilization of Palestinian police. Israel has reportedly blocked vetted Palestinian recruits from leaving Gaza to train in Egypt.
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A $20 million weapons buy-back program would offer Hamas and other armed groups incentives to surrender weapons and ammunition for safe disposal. The proposed Palestinian technocratic government would eventually manage Gaza’s crossings with Israel and Egypt for both people and goods.
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The blueprint was developed over roughly a year by dozens of officials from the 28-country Board of Peace and representatives of the National Committee for the Administration of Gaza. One Board of Peace official described its aim as establishing “a government from nothing, an economy from shambles and a territory from disaster.”
President Trump's Board of Peace has unveiled a $2.45 billion plan to rebuild Gaza over six months, featuring 66 projects to house displaced people, clear rubble, repair hospitals, and establish new governance Spectrum News 1. The proposal marks the first detailed roadmap for reconstruction after the October 2023 conflict, but faces major hurdles: Israel has not fully complied with agreed steps, Hamas remains armed, and an international peacekeeping force has not yet entered Gaza CTV News.
The plan allocates roughly $1 billion for infrastructure and $885 million for security, including a permanent base in Rafah for up to 5,000 international troops and a $120 million program to train 25,000 Palestinian police Bloomberg. A Board of Peace official said the goal is building "a government from nothing, an economy from shambles and a territory from disaster" — but full recovery could cost $71.4 billion over a decade SCMP.
How the $2.45 Billion Budget Breaks Down
The six-month plan dedicates roughly $400 million for temporary shelters to house displaced Gazans Spectrum News 1. Another $275 million targets removal of rubble and unexploded ordnance — a critical safety issue after months of intense fighting. The plan also includes $50 million to repair hospitals and $30 million for road work CTV News.
Security spending dominates the remaining funds. About $275 million would build a hardened military facility in Rafah to house up to 5,000 troops from an international stabilization force Bloomberg. An additional $120 million covers recruitment and equipment for Palestinian police, while a $20 million weapons buy-back program offers financial incentives for armed groups to surrender arms SCMP.
Why Implementation Remains Stuck in Limbo
The blueprint cannot move forward until three critical conditions are met: Israel must allow Palestinian police recruits to leave Gaza for training in Egypt — a step Israel has reportedly blocked Spectrum News 1. Hamas must disarm completely, which has not happened. And the international stabilization force must be formally deployed, which countries have offered troops for but treaties have not finalized CTV News.
The Board of Peace hopes reconstruction can begin after Israel's October 27 national election Bloomberg. However, political disputes over ceasefire terms and border controls continue to delay agreements. European diplomats have raised concerns that funds managed outside standard UN oversight lack transparency, while humanitarian groups say strict Israeli border restrictions block essential building materials SCMP.
The Larger Cost of Rebuilding Gaza
The $2.45 billion plan covers only six months of emergency work — a tiny fraction of Gaza's actual needs. Direct physical damage alone is estimated at $35.2 billion Bloomberg. A complete economic and infrastructure recovery over the next decade could cost $71.4 billion, according to international assessments SCMP.
To keep seats on the Board of Peace and maintain voting power, member nations must commit $1 billion every three years Spectrum News 1. The 28-country board — joined by representatives from 35 nations at the plan's unveiling — aims to establish a technocratic Palestinian government to manage borders and municipal services once deployed CTV News.
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