Palestinian government unveils $67 billion, five-year plan for Gaza reconstruction

RAMALLAH, Palestine/ISTANBUL

Palestinian Prime Minister Mohammad Mustafa said Thursday that his government, in partnership with Arab and international experts, has developed a three-phase recovery and reconstruction plan for Gaza, estimated to cost $67 billion and span five years.

Speaking at a press conference in Ramallah ahead of a special meeting on the recovery plan, Mustafa said the initiative aims to rebuild the war-ravaged Gaza Strip following nearly two years of Israeli attacks that have left tens of thousands dead and massive destruction across the enclave.

Diplomats and representatives of international institutions attended the event.

Mustafa outlined that the first phase, focused on meeting urgent humanitarian and infrastructure needs, will last six months at a cost of $3.5 billion.

The second phase, lasting three years, will require $30 billion, while the final phase will focus on completing reconstruction and long-term recovery.

He said talks are ongoing with international partners to secure resources for the plan’s implementation, adding that a major reconstruction conference will be held in Egypt one month after the end of the war.

The prime minister stressed that Israel must fulfill its obligations by withdrawing from Gaza, opening border crossings, and allowing the entry of humanitarian aid and reconstruction materials.

Gaza governance

Rejecting external conditions regarding governance in Gaza, Mustafa said: “We did not ask for guarantees from anyone” over Gaza’s administration.

He emphasized that the Palestinian Authority (PA) already governs the West Bank under Israeli occupation and intends to extend its authority over Gaza once conditions permit.

“There will be no internal Palestinian dispute on this matter,” Mustafa said.

Israel, however, opposes any role for the Palestinian Authority or Hamas in governing Gaza after the war.

The premier reiterated that the PA sees Gaza as part of the Palestinian state and is working “day and night” to restore governance over the territory.

Negotiations on the second phase of the ceasefire agreement are expected to begin within days, with Hamas demanding a complete end to the war, full Israeli withdrawal, and retention of its weapons.

A Gaza ceasefire agreement was reached between Israel and Hamas last week, based on a plan presented by US President Donald Trump. Phase one included the release of Israeli hostages in exchange for Palestinian prisoners. The plan also envisages the rebuilding of Gaza and the establishment of a new governing mechanism without Hamas.

Since October 2023, Israeli attacks have killed nearly 68,000 Palestinians in the enclave, most of them women and children, and rendered it largely uninhabitable.