Arab Leaders Reject U.S. Gaza Plan, Back Egypt’s Reconstruction Proposal

Arab leaders have endorsed Egypt’s postwar plan for Gaza, rejecting U.S. President Donald Trump’s proposal to depopulate the territory and redevelop it as a tourist destination. The $53 billion plan, approved at a Cairo summit, aims to rebuild Gaza while allowing its population of 2 million Palestinians to remain.

Egypt’s Vision for Gaza Reconstruction

Egyptian President Abdel Fattah el-Sissi welcomed the unified Arab support for Gaza’s reconstruction, emphasizing the importance of maintaining Palestinian presence in the territory. His plan outlines a phased approach, starting with clearing debris and unexploded ordnance, followed by long-term urban redevelopment.

The proposal envisions Gaza’s transformation into a modern, sustainable city with green housing, renewable energy, and industrial zones. It also calls for an airport, fishing port, and commercial hub—projects long stalled by political conflict. A World Bank-overseen trust fund will be established to finance reconstruction efforts.

The Arab League’s communique urged the U.N. Security Council to deploy an international peacekeeping force in Gaza and the West Bank. The initiative received support from Hamas but was rejected by Israel and met with skepticism from the U.S. administration.

U.S. and Israeli Reactions

White House National Security Council spokesman Brian Hughes dismissed the Egyptian plan as impractical, arguing that Gaza is currently uninhabitable. He reiterated Trump’s vision of rebuilding Gaza without Hamas' presence.

Israeli officials also criticized the proposal, claiming it does not address security concerns or acknowledge Hamas’ role in the October 7, 2023 attack that triggered the war. Israel continues to support a U.S. plan that involves resettling Gaza’s population elsewhere.

Egyptian Foreign Minister Badr Abdelatty denounced Israel’s rejection as extremist, stressing that peace is unattainable without Palestinian statehood. Hamas, meanwhile, praised the summit’s outcome as a reaffirmation of Arab solidarity.

As negotiations continue, Egypt has announced plans to host an international conference on Gaza’s reconstruction. The proposal presents a path toward stability, but opposition from Israel and the U.S. suggests that the region’s future remains uncertain.