Arab states back Egypt’s plan over Trump’s ‘Gaza Riviera’ proposal

CAIRO,— Arab leaders on Tuesday approved an Egyptian plan to rebuild Gaza, allocating $53 billion for reconstruction while ensuring the enclave’s Gaza population is not displaced. The move counters a U.S. proposal backed by President Donald Trump, which has drawn international criticism.

The White House rejected the Arab-backed plan, arguing it does not adequately address conditions in Gaza. Trump has maintained support for his vision, which opponents claim would lead to the forced removal of Gazans.

Egyptian President Abdel Fattah al-Sisi confirmed the agreement at the close of the Cairo summit. He said the plan includes establishing an interim administrative committee to oversee Gaza’s recovery, working under the the so-called “Palestinian” Authority (PA).

One of the main concerns following the war is who will govern Gaza. Egypt’s plan calls for a panel of technocrats from Gaza and West Bank to manage humanitarian relief and daily administration until the PA assumes full control.

The fate of Islamist Hamas group remains unresolved. The group’s October 7 attack on Israel left 1,200 dead, with more than 250 taken hostage, according to Israeli figures.

Israel’s response has killed thousands of Gazans, mostly Hamas fighters, according to reports.

Hamas has agreed in principle to Egypt’s proposal but insists on having input on committee selections. Egyptian Foreign Minister Badr Abdelatty said Tuesday that names had already been finalized.

PA leader Mahmoud Abbas endorsed the plan and urged U.S. support for an approach that does not involve relocating Gaza residents. He reiterated his willingness to hold elections, a move Hamas has also backed.

Israel dismissed the initiative, calling it “outdated” and objecting to the reliance on the PA while Hamas remains in place. The U.S. also expressed skepticism.

“This proposal does not reflect the current reality,” White House spokesperson Brian Hughes said. “President Trump stands by his vision for a Gaza free of Hamas.”

The success of Egypt’s plan hinges on financial commitments from Gulf nations, particularly Saudi Arabia and the UAE. PA Prime Minister Mohammed Mustafa said reconstruction funds could be managed through an international financial institution, such as the World Bank.

Saudi Arabia has raised concerns about Hamas maintaining military control in Gaza, with sources citing strong U.S. and Israeli opposition as a key barrier. The UAE is pushing for Hamas’ immediate disarmament, though other Arab nations prefer a phased approach.

Speaking at the summit, Saudi Foreign Minister Prince Faisal bin Farhan called for international guarantees to uphold the current ceasefire. Leaders from the UAE and Qatar did not make public statements.

Senior Hamas official Sami Abu Zuhri dismissed calls for the group to disarm, saying resistance was non-negotiable.

For weeks, Egypt, Jordan, and Gulf states have explored alternatives to Trump’s plan, which envisions a U.S.-controlled reconstruction process. A draft summit statement seen by Reuters reaffirmed opposition to any forced displacement of Gazans.

Egypt’s proposal outlines plans for residential areas, a commercial port, a technology hub, and an airport.

A source familiar with Israel’s stance said the government could accept an Arab-led administration if Hamas is removed. However, an Israeli official emphasized that Hamas’ military and political infrastructure must be dismantled.

“If Hamas disarms, it has to be immediate,” the official said. “There’s no alternative.”

Israeli estimates put Hamas losses at 20,000 Islamist fighters, while Hamas claims far fewer casualties.

(With files from Reuters)