Board of Peace Launches $2.45bn Gaza Recovery Plan Amid Funding and Political Hurdles

Key points

• The Board of Peace announced a $2.45 billion, six-month recovery plan for Gaza, comprising 66 projects focused on housing, infrastructure, and security.
• Full reconstruction is estimated to require $71.4 billion over the next decade, with physical damage alone assessed at $35.2 billion.
• Only $280 million of the $18 billion pledged has been received, highlighting a significant funding gap.
• The plan includes $400 million for temporary shelters, $275 million for rubble clearance, and $885 million for security projects, including an international stabilization force.
• Implementation is hindered by political stalemates, with Israel refusing to start the process due to domestic elections and Hamas conditioning disarmament on Israeli withdrawal.

Background

The Board of Peace was established as part of Donald Trump's 20-point Gaza peace plan, unveiled in September 2025 alongside Israeli Prime Minister Benjamin Netanyahu. The plan aimed to end the Israel-Hamas war by having Hamas disarm and hand over governance to Palestinian technocrats. However, Netanyahu rejected the plan in August 2026, citing domestic political concerns and insisting on Hamas disarmament before any Israeli withdrawal. This rejection led to a stalemate, with Hamas refusing to disarm until Israel withdrew, and Israel refusing to withdraw until Hamas disarmed. The Board of Peace has continued to push for the plan's implementation, despite these challenges.

How outlets are covering it

The BBC reported on the unveiling of the $2.45 billion plan, emphasizing the commitment of key figures like Jared Kushner and Steve Witkoff, while noting the significant funding gap and political challenges. Axios provided detailed insights into the plan's structure, highlighting the 66 projects across six areas and the need for international cooperation. Politico focused on the funding aspect, noting the $71 billion long-term need and the efforts to secure donor support. All sources agreed on the plan's ambition but differed in emphasis, with the BBC focusing on the political and humanitarian aspects, Axios on the structural details, and Politico on the financial challenges.

Why it matters

The unveiling of the $2.45 billion plan marks a significant step in the post-war reconstruction of Gaza, but its success depends on overcoming substantial funding and political hurdles. The plan's implementation could set the stage for a more stable and governed Gaza, but the current stalemate between Israel and Hamas, along with the funding gap, poses significant risks. International cooperation and donor support will be crucial in moving forward, and the plan's success could influence broader regional stability and the future of the Israel-Hamas conflict.

What to watch

The Board of Peace will continue to seek funding and international support for the $2.45 billion plan. Key milestones include securing the necessary funds, resolving the political stalemate between Israel and Hamas, and initiating the first phase of reconstruction. The Israeli elections on October 27 will be a critical factor, as the outcome could influence the pace of implementation. Additionally, the Board of Peace will work to ensure security for those operating in Gaza and to establish a Palestinian-led administration.