A proposed U.S.-backed initiative for Gaza’s reconstruction and governance, known as Donald Trump’s “Board of Peace” plan, is facing financial uncertainty after receiving only a small portion of the pledged international funding, according to a Reuters report citing sources familiar with the matter. The development comes amid ongoing regional instability following the Iran conflict, which has further complicated diplomatic and reconstruction efforts in the Middle East.
The plan, unveiled during a Washington conference held shortly before the escalation of US-Israel tensions with Iran, was designed to mobilise around $17 billion in pledges from Gulf and other international partners. It aimed to support the governance and rebuilding of Gaza after years of conflict, alongside a proposed disarmament framework for Hamas and the eventual transfer of administrative control to a Palestinian technocratic body.
However, according to sources cited in the report, only a fraction of the pledged funds has been received so far, with contributions reportedly coming mainly from a limited number of countries, including the United States, the United Arab Emirates, and Morocco. The total amount received is estimated to be under $1 billion, significantly below the level required to initiate large-scale reconstruction activities.
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The financial shortfall has reportedly delayed the operations of the National Committee for the Administration of Gaza (NCAG), a U.S.-backed group of Palestinian technocrats intended to assume governance responsibilities in the enclave. The committee has been unable to enter Gaza due to both funding and security constraints, according to individuals familiar with the process.
A spokesperson for the Board of Peace, however, denied any funding crisis, stating that the organisation operates on an “execution-focused” model and that all funding requests made so far have been met. Palestinian representatives involved in the process have not publicly responded to the latest claims.
The situation underscores the broader challenges facing post-conflict reconstruction efforts in Gaza, where large-scale rebuilding is estimated by international institutions to require tens of billions of dollars. With ceasefire arrangements remaining fragile and political disagreements continuing over disarmament and territorial control, the future of the proposed governance and reconstruction framework remains uncertain.
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