Author: Emma Futch and Alexander Cornwell
GENEVA/TEL AVIV (Reuters) – The gap between funding commitments and disbursements for Donald Trump’s Gaza reconstruction plan must be urgently bridged, the U.S. president’s “peace council” said in a report, pointing to a potential cash shortfall in the program estimated to cost $70 billion.
Trump established the Peace Council to oversee his ambitious plan to end Israel’s war in Gaza and rebuild the shattered territory. Trump said other conflicts would be resolved as well.
The U.N. Security Council has recognized the committee, although many major powers have yet to sign on, along with Washington’s main Middle East allies and some small and medium-sized countries.
Reuters reported in April that the council had received only a fraction of the $17 billion pledged by members for Gaza, preventing the president from moving forward with his plans.
The board denied the report and said in a statement that it was an “execution-focused organization that mobilizes capital as needed” and had “no funding restrictions.” The money is intended to cover reconstruction costs and fund the activities of the new U.S.-backed transitional government in Gaza.
Call for faster payment
“The gap between commitments and disbursement must be urgently bridged,” the committee said in a May 15 report to the United Nations Security Council, seen by Reuters on Tuesday.
It added: “The funds that have been committed but not yet disbursed represent the difference between the framework that exists on paper and what is actually delivered for the people of Gaza.”
The committee also called on countries and organizations that are not members of the Peace Council to immediately contribute to Gaza’s reconstruction and urged all countries that have made pledges to “expedite the payment process.”
The report did not reveal how much funding had been received or the size of the shortfall, but said the amount committed remained at $17 billion. The Peace Council did not immediately respond to a request for comment.
The United States, Saudi Arabia, the United Arab Emirates and Qatar are among the countries that have pledged funding to the committee. Other countries include Morocco, Uzbekistan and Kuwait.
After more than two and a half years of Israeli bombardment, rebuilding Gaza is expected to cost more than $70 billion. This is a key element of Trump’s plan for Gaza’s future, but it has been on hold as the plan appears to have stalled.
Hamas has refused to lay down its arms despite an October ceasefire, and Israel has stationed troops in large swathes of Gaza while continuing air strikes.
The committee said in its report that 85% of buildings and infrastructure in Gaza have been destroyed and an estimated 70 million tons of rubble need to be cleared.
Reuters reported on May 15 that the United States is considering asking Israel to hand over some of the taxes it withholds from the Palestinian Authority to the peace council to fund reconstruction.
Officials in Europe and Asia say many countries are hesitant to fund Gaza reconstruction through the Trump board because of transparency and oversight concerns, preferring to fund Gaza reconstruction efforts through traditional agencies such as the United Nations.
Under the commission’s charter, member states will be limited to three-year terms unless they each pay $1 billion to fund the commission’s activities and gain permanent membership. It’s unclear whether any states have paid the fee.
(Reporting by Emma Futch and Alexander Cornwell; Editing by Rami Ayoub, Aidan Lewis)