Arab states adopt $53 billion Egyptian plan for Gaza, Israel & US reject it while standing by Trump's ‘bold vision' for Gaza Riviera

During an emergency summit in Cairo on Tuesday, Arab leaders adopted an Egyptian plan for the reconstruction of Gaza that would cost $53 billion and avoid displacing Palestinians from the enclave. 

Egyptian President Abdel Fattah el-Sisi announced the adoption of the Gaza reconstruction plan and said the emergency summit was intended to “achieve Arab interests, preserve Arab national security, and enhance joint Arab action.” 

In the introduction of the Egyptian plan, the document calls for “more effort to reach a just settlement that preserves the legitimate right of the Palestinian people to an independent state living side by side in peace with Israel.” 

“The recent war on Gaza and the unprecedented humanitarian catastrophe that the Palestinian people are facing are the greatest evidence of the need to exert more effort to reach a just settlement that preserves the legitimate right of the Palestinian people to an independent state living side by side in peace with Israel. Therefore, a clear political horizon, consistent with international law, has become a need to launch a more urgent necessity than ever before. It is no exaggeration to say that implementing the two-state solution will eliminate the main cause of instability and conflicts in the Middle East, thus establishing comprehensive and just peace, and opening the door to a new phase of normal relations and coexistence among the peoples of the region, including the Israeli people.” 

The Arab plan would establish a temporary council to manage Gaza, which would operate under the umbrella of the Palestinian Authority (PA). 

PA President Mahmoud Abbas addressed the summit, accepting the Egyptian plan and calling on U.S. President Donald Trump to support it as well. Abbas claimed that the PA is ready to assume responsibility for managing governing tasks in the Gaza Strip.

He also said the PA is “fully prepared to hold general presidential and legislative elections next year if the appropriate conditions are in place in Gaza, the West Bank and East Jerusalem.” 

Hamas, while not accepting the Egyptian proposal outright, released a positive statement, stating that it appreciated the summit’s “rejection of the occupation's plans to displace our people.” 

“We appreciate the words of the leaders and chiefs at the extraordinary Arab Summit in Cairo, which all stressed the rejection of the occupation's plans to displace our people, the rejection of annexation and settlement projects, and the support of our people's legitimate rights to freedom and self-determination,” the Hamas statement read. 

Hamas also called for the Arab nations to provide the elements for the success of the Arab plan for the reconstruction of Gaza, while appearing to support the decision to form a committee to administer Gaza as part of the State of Palestine. 

The terror group also welcomed Abbas' call for legislative and presidential elections. In the last popular elections, held in 2006, Hamas won a majority. Fatah, the other major political party, did not accept the results, sparking a war between Fatah and Hamas in Gaza that led to Hamas eventually taking over the enclave.

Recent polls in the Palestinian Territories suggest that Hamas would win elections if held today, effectively rendering calls for the organization to step down moot, as it would control the PA.

The Israeli Foreign Ministry rejected the Arab proposal, saying it “fails to address the realities of the situation following October 7th, 2023.” 

The ministry also said the plan relies on “the Palestinian Authority and UNRWA – Both have repeatedly demonstrated corruption, support for terrorism, and failure in resolving the issue.” 

The statement issued at the Emergency Summit of the Extraordinary Arab Summit fails to address the realities of the situation following October 7th, 2023, remaining rooted in outdated perspectives. Notably, Hamas' brutal terrorist attack, which resulted in thousands of Israeli…

— Israel Foreign Ministry (@IsraelMFA) March 4, 2025

The White House also rejected the plan adopted by the Arab summit, arguing that it “does not address the reality that Gaza is currently uninhabitable and residents cannot humanely live in a territory covered in debris and unexploded ordnance.” 

National Security Council Spokesman Brian Hughes said, “While the president stands by his bold vision for a post-war Gaza, he welcomes input from our Arab partners in the region. It’s clear his proposals have driven the region to come to the table rather than allow this issue to devolve into further crisis.” 

“President Trump stands by his vision to rebuild Gaza free from Hamas,” Hughes added. “We look forward to further talks to bring peace and prosperity to the region.”