$30 Billion Gaza Reconstruction and Economic Zone at Heart of Peace Plan

Date:

Sharm El-Sheikh ,Egypt – October 14, 2025

The Sharm El-Sheikh Peace Summit in Egypt solidified not just a ceasefire, but an ambitious blueprint for Gaza’s future, pivoting the focus from conflict to massive economic and humanitarian recovery. Leaders at the summit, co-chaired by Presidents Trump and El-Sisi, threw their weight behind the economic provisions of the peace plan, which include a multi-billion dollar reconstruction drive and the establishment of a special economic zone to transform the devastated territory from ‘debris to destiny’.

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Addressing the dire humanitarian crisis, President Trump confirmed that multiple “countries of great wealth and power” have committed significant funds to the reconstruction of Gaza, where damage estimates have surpassed $30 billion. He emphasized that this financial commitment is critical to ensuring the region’s long-term stability. The deal guarantees a surge in humanitarian aid, with international agencies now prepared to send up to 600 truckloads of food, water, and medical supplies daily. Crucial to this effort is the agreement to rehabilitate essential infrastructure—water, electricity, sewage—and restore damaged hospitals and bakeries to combat the famine and disease that have ravaged the population, particularly the tens of thousands of acutely malnourished children.

Economically, the peace plan seeks to ensure the financial viability of a ‘New Gaza.’ A core tenet is the establishment of a Special Economic Zone, complete with negotiated preferred tariff and access rates to participating countries. This mechanism is designed to attract international investment and create a thriving, functional economy for the territory, giving residents hope for a future defined by opportunity rather than dependence. The agreement explicitly states that no one will be forced to leave Gaza, encouraging residents to stay and offering them the chance to build a better life, underpinned by this strong economic foundation.

On the governance front, the agreement sets out clear steps to ensure Hamas has no role in the territory’s future. Gaza will be governed by a temporary technocratic, apolitical Palestinian committee, responsible for delivering public services. This committee will eventually be overseen by the “Board of Peace,” which President Trump is set to chair. Furthermore, the plan mandates a verified process of demilitarization, including a monitored weapons decommissioning process supported by an internationally funded buy-back program. This phased approach to security, governance, and economics highlights a comprehensive strategy aimed at preventing the root causes of conflict from re-emerging, marking a determined shift in global strategy toward proactive peace-building in the region. The ultimate goal, supported by the guarantors, is to realize a future for Gaza that no longer poses a threat to its neighbours, ensuring that this vast financial and political investment secures a durable and lasting peace.

Headline Points

 * Massive Reconstruction Fund: Wealthy nations have pledged extensive financial aid to meet the estimated $30 billion cost of rebuilding Gaza.

 * Special Economic Zone Planned: The peace deal includes the creation of a New Gaza Special Economic Zone to foster investment and ensure financial stability through preferred tariffs and access.

 * Humanitarian Surge: The agreement ensures a rapid, unimpeded flow of humanitarian aid, with up to 600 trucks daily to combat famine, disease, and rebuild critical infrastructure.

 * New Technocratic Governance: A temporary, apolitical Palestinian committee will manage Gaza’s public services, with Hamas explicitly excluded from any future role in governance.

 * Demilitarization Mechanism: The deal outlines a supervised demilitarization process, including weapons decommissioning and an internationally funded buy-back program to ensure Gaza’s long-term security.

 * No Forced Displacement: The agreement explicitly guarantees that no resident will be forced to leave Gaza, promoting stability and local commitment to the new economic vision.

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