US President Donald Trump’s Board of Peace is set to present a six-month, $2.45 billion recovery plan for Gaza at a meeting of its members on Wednesday, according to a report by Axios. The proposal covers emergency housing, debris removal, hospital repairs, economic recovery and security arrangements.

The plan contains 66 projects and is being presented as a framework for the initial phase of Gaza’s post-war recovery and governance. It has reportedly been prepared over the past year by members of the Board of Peace and a Palestinian technocratic government. The board has 28 member countries.

Gaza Reconstruction Plan: What Does It Include?

According to the reported plan, infrastructure would receive about $1 billion. The proposed spending includes around $400 million for temporary shelters, $275 million for clearing rubble and unexploded ordnance, $50 million for hospital rehabilitation and $30 million for road repairs.

The proposal also covers electricity and water infrastructure, border crossings and solar power. Around $400 million is reportedly earmarked for insulated caravans to provide temporary accommodation for displaced Palestinians currently living in tents.

An aerial view shows widespread destruction in Gaza, with sprawling camps of makeshift tents set up among collapsed concrete buildings and rubble.
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An aerial view shows widespread destruction in Gaza, with sprawling camps of makeshift tents set up among collapsed concrete buildings and rubble. Credit: X/ANI

Security-related projects account for another major portion of the proposed budget. The plan reportedly sets aside about $885 million for security projects, including facilities and deployment related to a multinational security force. It also includes funding for Palestinian police and a weapons buy-back programme.

A Board of Peace official was quoted as saying: “The plan shows how to stand up a government from nothing, an economy from shambles and a territory from disaster.”

Gaza Recovery Could Cost $71.4 Billion

The proposed six-month programme is only an initial step compared with the estimated cost of rebuilding Gaza.

The plan puts the physical damage in Gaza at about $35.2 billion and estimates that full recovery and reconstruction could require approximately $71.4 billion over the next 10 years.

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Beyond immediate relief, the proposal reportedly includes plans for digital services, economic support, healthcare and education. The broader objective is to establish the foundations of a functioning Palestinian administration and restart private-sector activity.

Israel, Hamas Cooperation Key to Gaza Plan

Implementation remains dependent on political and security conditions involving Israel and Hamas.

According to Axios, Israel’s government has agreed in principle to parts of the proposal previously discussed but has not begun implementation, citing domestic political considerations ahead of its October 27 election. Hamas has also agreed in principle to disarm, although that commitment has yet to be tested.

Funding is another challenge as the Board officials said the entire $2.45 billion does not have to be available immediately, while donor countries would be expected to support individual projects once political obstacles are addressed.

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The proposal therefore combines short-term humanitarian needs with longer-term reconstruction and governance plans, but its implementation will depend on funding and cooperation among the parties involved.