Davos, Switzerland – President Donald Trump has announced that members of his newly formed Board of Peace have pledged over $7 billion in aid for Gaza reconstruction and stabilization, a move that comes as his administration simultaneously extends its decision timeline regarding Iran and asserts a greater role in international diplomacy.
The pledges, revealed during the Board of Peace’s inaugural meeting on , represent a significant financial commitment towards rebuilding the territory devastated by the conflict that began with the Hamas-led attack on southern Israel on . The United Nations estimates the total cost of damage in Gaza to be $70 billion.
According to statements released by the White House, the United States will contribute $10 billion to the Board of Peace initiative. However, it remains unclear whether this commitment has been formally submitted to Congress for approval, a necessary step for such a substantial allocation of funds.
The Board of Peace, unveiled at the World Economic Forum in Davos last month, is intended to oversee Phase Two of Trump’s 20-point peace plan for Gaza, which includes the disarmament of Hamas and the reconstruction of the territory. The second phase of a US-brokered ceasefire plan includes the disarmament of Hamas and the reconstruction of Gaza. Trump indicated that “it looks like” Hamas would disarm, though reports suggest the group is consolidating control over the Strip.
The initiative has faced skepticism from several of the United States’ traditional allies, including the United Kingdom, Canada, France, and Germany, who have declined to participate, fearing the Board may be intended to supplant the role of the United Nations. Concerns have also been raised regarding the potential for authoritarian governments to gain influence within the body, particularly given reports that permanent membership will be granted to countries contributing $1 billion or more within the first year.
Israeli Prime Minister Benjamin Netanyahu has stated that Israel agrees with the US that reconstruction of Gaza will not proceed until the territory is demilitarized. “Israel had agreed with our ally the US there will be no reconstruction of Gaza before the demilitarisation of Gaza,” Netanyahu said.
The announcement of the Board of Peace’s funding pledges comes amidst a complex geopolitical landscape. Trump has also extended the timeline for a decision regarding Iran to , and indicated that the Board of Peace will be “looking over” the operations of the United Nations. This suggests a broader effort by the Trump administration to assert greater control over international affairs and potentially reshape the existing global order.
The conflict in Gaza has resulted in a devastating humanitarian crisis. According to the Hamas-run health ministry in Gaza, more than 72,000 people have been killed since the start of Israel’s military campaign in response to the October 7th attacks. The territory’s economy is in ruins, and its infrastructure has been largely destroyed.
The Board of Peace’s inaugural meeting included participants such as Vice President J.D. Vance, Secretary of State Marco Rubio, Trump’s son-in-law Jared Kushner, Special Envoy Steve Witkoff, and FIFA President Gianni Infantino. Trump reportedly criticized allies who have not joined the initiative, accusing them of “playing cute.”
While the $7 billion pledge represents a substantial sum, it falls far short of the $70 billion estimated by the UN to be required for Gaza’s reconstruction. The effectiveness of the Board of Peace will depend on its ability to mobilize additional funding, navigate the complex political challenges on the ground, and ensure that aid reaches those who need it most. The long-term success of the initiative also hinges on the successful disarmament of Hamas and the establishment of a stable and secure environment in Gaza.
The creation of the Board of Peace and the associated financial commitments signal a renewed focus by the Trump administration on the Israeli-Palestinian conflict and a willingness to pursue unconventional approaches to resolving long-standing disputes. However, the initiative’s future remains uncertain, given the deep divisions among key stakeholders and the ongoing challenges on the ground.
