The U.S.-backed Board of Peace unveiled a $2.45 billion, six-month blueprint to begin reconstruction and governance in Gaza at a board meeting on the sidelines of the UN General Assembly in New York on Wednesday. The plan encompasses 66 projects spanning infrastructure, education and health initiatives, and is designed to support the Trump administration's 20-point framework to end the Israel-Hamas war.
Projected spending includes temporary housing, rubble removal, hospital repairs, economic recovery and the deployment of a multinational security force. Roughly $400 million is earmarked for insulated caravans for displaced Palestinians currently living in tents, while $120 million is allocated to mobilising Palestinian police and $20 million would fund a weapons buy-back programme for arms surrendered by Hamas and other armed groups. The UAE would separately fund a pilot 'Emirati Neighbourhood' in the Rafah area designed to house 50,000 people currently living in tents. Representatives said the $2.45 billion in funds has been 'pledged directly or generally' [Source: Bloomberg]. The Board of Peace includes 28 member countries, and representatives from 35 countries attended the briefing, including from the EU and the UN. Jared Kushner and White House envoy Steve Witkoff joined Board of Peace High Representative Nickolay Mladenov at the meeting.
The board estimated physical damage in Gaza at $35.2 billion and said full recovery and reconstruction will require approximately $71.4 billion over the next decade [Source: PBS News]. Board High Representative Nikolay Mladenov cautioned that progress hinges largely on Hamas disarming, stating 'we are not bound by a calendar' [Source: PBS News]. U.S. Gen. Jasper Jeffers, commander of the planned international stabilisation force, outlined a five-step approach to demilitarising Hamas, beginning with troops from Kosovo and Morocco followed by personnel from Albania and Kazakhstan.
The announcement comes almost a year after Israel and Hamas agreed to a ceasefire that brought an official halt to two years of war [Source: Bloomberg]. The ceasefire took effect on 10 October 2025 and was intended to clear the way for a broader process to rebuild Gaza under the guidance of the Board of Peace [Source: PBS News]. The original plan included additional Israeli military withdrawals, disarmament of Hamas, the arrival of an international peacekeeping force and a new apolitical Palestinian government. However, the Israeli military has expanded its control of Gaza and now occupies some 60% of the territory, while Hamas has not given up its weapons. The international military force and new government have not yet entered Gaza, and reconstruction has not begun, with the vast majority of Palestinians continuing to live in tent camps or in the ruins of their former homes. Israeli elections are scheduled for 27 October 2026, and the Board of Peace has indicated it hopes Gaza recovery can begin after a new Israeli government is formed [Source: Axios].
Sources: Bloomberg, BBC News, PBS News, Axios, Military.com