U.S. and Israel reject Egypt’s $53 billion reconstruction plan for Gaza

Israel and the United States have dismissed a $53 billion reconstruction proposal for Gaza, put forward by Egypt and backed by the Arab League, the United Nations, Hamas, and the Palestinian Authority, according to CBS News.

The plan outlines a three-phase process aimed at rebuilding Gaza. The first phase, lasting up to a year, would prioritize humanitarian aid, the removal of rubble and the construction of 200,000 temporary housing units at an estimated cost of $3 billion.

The second phase, spanning two years and costing around $20 billion, would focus on building 200,000 permanent housing units and restoring essential infrastructure.

The final phase, also lasting two years, would involve the construction of another 200,000 permanent homes, along with additional infrastructure projects such as a port and an airport, bringing the total cost to $30 billion.

A major point of contention is governance. Egypt’s proposal suggests that an independent committee of Palestinian technocrats oversee the territory for six months before transferring control to the Palestinian Authority, which currently governs the West Bank.

In terms of security, Egypt’s plan envisions training Palestinian security forces within its borders before deploying them to maintain order in Gaza. The proposal also calls for the United Nations Security Council to send international peacekeepers.

Israel’s Foreign Ministry rejected the plan, stating that it "continues to rely on the Palestinian Authority and UNRWA—both of which have repeatedly demonstrated corruption, support for terrorism, and failure in resolving the issue."

Meanwhile, U.S. National Security Council spokesman Brian Hughes reaffirmed the U.S. position, saying, "President Trump stands by his vision to rebuild Gaza free from Hamas."

The European Union has yet to issue a public statement on the Egyptian proposal.