EDITORIAL: Egypt’s $53 billion proposal to reconstruct Gaza stands in stark contrast to the Trump administration’s provocative and widely condemned idea of depopulating the territory and turning it into the “Riviera of the Middle East”.
And, as much as it must be appreciated for coming to the aid of Gazans when their lives have been devastated amid the risk of another Naqba being forced on them, perhaps its greatest success lies in finally getting Arab states, so far silent spectators to the genocide unfolding in their neighbourhood for a year and a half, to finally stand up for Palestinians. For once, they have coalesced around a singular, actionable initiative—one that is both a lifeline for Palestinians and a rebuke to Washington’s cynical geopolitics.
The proposal itself is ambitious. It envisions a phased reconstruction of Gaza, beginning with emergency relief efforts, followed by the restoration of critical infrastructure, and ultimately culminating in a self-sufficient Palestinian administration.
The endorsement of this plan by regional heavyweights, including Saudi Arabia and the UAE, signals a departure from the usual diplomatic paralysis that has long plagued the Arab world’s response to the Israeli-Palestinian conflict. The United Nations and the European Union have also expressed support, lending further legitimacy to Cairo’s initiative.
However, beyond the symbolism of Arab unity, critical questions remain. The most pressing among them is Hamas’s role in Gaza’s future. The proposal calls for an interim administration of Palestinian technocrats before an eventual return of the Palestinian Authority (PA) to governance.
But Hamas, which still wields significant influence and military capability in Gaza, has been conspicuously absent from these discussions. If the PA is to assume control, will Hamas willingly cede power, or will another intra-Palestinian conflict ensue? The Arab plan appears to sidestep this thorny issue, but any lasting solution must address Hamas’s presence and the broader question of Palestinian political unity.
Funding is another major hurdle. While Gulf states have signaled financial backing, the scale of this reconstruction effort is immense. The $53bn price tag requires sustained and coordinated investment, and past experience suggests that Arab pledges do not always translate into delivered funds.
Moreover, the current regional economic landscape — marked by fluctuating oil revenues and competing domestic priorities — raises doubts about whether Arab states can maintain long-term financial commitment to Gaza’s rehabilitation.
Perhaps most problematic is the immediate rejection of this plan by both Israel and the United States. The Trump administration, which has shown little interest in Palestinian self-determination, has dismissed the initiative outright, clinging instead to its widely reviled “Gaza Riviera” concept.
Israel, meanwhile, remains fixated on security concerns, showing no inclination to cooperate with an Arab-led reconstruction plan. Without diplomatic buy-in from Washington or Tel Aviv, the practical implementation of this proposal remains uncertain.
Yet, for all its unanswered questions, the Arab proposal marks an important shift. It offers a concrete alternative to American unilateralism and forces the world to reconsider Gaza’s future beyond forced displacement and perpetual devastation.
If nothing else, it underscores the potential of Arab coordination in reshaping the regional order. Whether this unity can be translated into tangible change remains to be seen, but for now, it stands as a significant, if incomplete, challenge to the status quo.
Copyright Business Recorder, 2025
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