Arab Proposal: Early Recovery, Reconstruction, and Development of Gaza

The Arab proposal outlines a comprehensive plan for Gaza’s early recovery, reconstruction, and long-term development following the Israel-Hamas war, emphasizing humanitarian relief, infrastructure rebuilding, and sustainable growth. Adopted on March 4, 2025, it stresses Palestinian rights, the two-state solution, and international cooperation. With an estimated $53 billion budget, the plan is structured into two phases: a six-month early recovery stage focused on debris removal and temporary housing, followed by a five-year reconstruction phase involving permanent housing, essential infrastructure, and economic revitalization. It integrates lessons from global post-war recovery efforts and aims to transform Gaza into a sustainable, resilient urban hub by 2030.

Below is an executive summary of the plan. For the complete text, click here.

This document presents an Arab proposal for the early recovery, reconstruction, and development of Gaza following the recent Israel-Hamas war. The proposal, adopted on March 4, 2025, and published the following day, acknowledges the unprecedented humanitarian crisis and emphasizes the urgent need for a just settlement preserving the Palestinian people’s right to an independent state alongside Israel, based on the two-state solution and international law.

The plan is premised on several key principles: preserving the rights, dignity, and humanity of the Palestinian people; the prospect of the two-state solution; condemnation of civilian killings and infrastructure destruction; the right of Palestinians to remain on their land without displacement; Gaza being an integral part of Palestinian territory; and the necessity of international solidarity. It also underscores the importance of maintaining the ceasefire and supporting the Palestinian Authority’s role in managing Gaza during reconstruction. Security arrangements, including training Palestinian police personnel and a potential United Nations Security Council study on international presence, are also crucial. The ultimate political goal is implementing the two-state solution through direct negotiations and a medium-term truce.

The proposal highlights the severe humanitarian and economic repercussions of the war, citing approximately 47,000 Palestinian deaths by January 2025, including at least 13,000 children and 1.9 million internally displaced people. Total material losses are estimated at $29.9 billion, with economic and social losses amounting to $19.1 billion, bringing the total needs to $53.2 billion. Key affected sectors include housing ($16.3 billion in devastation), trade and industry ($8.1 billion), health ($7.6 billion), and education ($4.1 billion). Poverty and unemployment rates have skyrocketed, and essential services are severely disrupted.

The methodology of the plan’s formulation is based on scientific evidence and consultation with Palestinian authorities. The main objectives are early recovery and reconstruction led by Palestinians, alleviating humanitarian suffering, rebuilding the sector, addressing damage and losses, and proposing investment projects. The plan emphasizes the Palestinian people’s right to remain on their land and the right of refugees to return.

The implementation of the plan is divided into two main phases:

• Early Recovery Phase (6 months, $3 billion): Focuses on debris removal, preparing key infrastructure (Salah al-Din Road), providing 200,000 prefabricated temporary housing units for 1.2 million people, and commencing renovation of 60,000 partially damaged homes for 360,000 individuals.
• Reconstruction Phase (5 years, $50 billion): Divided into two stages. Stage 1 (2 years, $20 billion) includes completing debris removal and renovation, constructing 200,000 new permanent housing units for 1.6 million people, reclaiming agricultural land, developing essential infrastructure (electricity, telecommunications, water, sanitation), and establishing service buildings. Stage 2 (2.5 years, $30 billion) continues infrastructure construction, builds another 200,000 permanent housing units for 1.2 million people (total 460,000 units for 2.75 million people), establishes an industrial zone, a fishing port, a commercial seaport, and Gaza International Airport, and implements the first phase of coastal development.

The total estimated financial requirement for the reconstruction plan is $53 billion. Funding sources are expected to be diversified, including the United Nations, international financial institutions, donor countries, investment funds, governmental development agencies, development banks, foreign direct investment, and civil society organizations. A trust fund under international supervision is proposed as a financing mechanism. Egypt plans to host a high-level ministerial conference in Cairo to mobilize financial resources and propose investment projects.

The plan also includes a detailed technical report that examines the regional and spatial importance of Gaza, the pre-destruction housing and services situation, and case studies of post-war urban rehabilitation (Hiroshima, Berlin, Beirut) to draw key lessons. It outlines a strategy for handling rubble and proposes a general plan study for Gaza with a long-term vision for a sustainable, innovative, humane, and resilient city with an expected population of 3 million by 2030. The general land use plan details residential, economic, service, tourism, and agricultural zones. Integrated Development Units (IDUs) are introduced as a model for balanced land use. The plan also addresses the gradation of services at regional, governorate, and neighborhood levels and the distribution of investment projects.

A detailed plan further elaborates on the division of urban sectors, density distribution, building heights, main axes, road and transportation networks, and infrastructure business plans. It also focuses on the urban identity of Gaza, including architectural character and the identity of residential, service, government, public, industrial, and agricultural areas, aiming to blend Palestinian heritage with modern sustainability. The proposal includes specific plans for temporary housing sites and models. The final section outlines the implementation phases until 2030, reiterating the timelines, costs, and expected outcomes, including creating 500,000 job opportunities across various sectors.

In conclusion, this Arab proposal presents a comprehensive and multifaceted plan for the reconstruction and long-term development of Gaza, grounded in Palestinian rights, international law, and sustainable development principles. It significantly addresses the immediate humanitarian crisis and builds a resilient future.

Source: “Full text: The Arab-backed plan for Gaza reconstruction,” Times of Israel, (March 5, 2025).