Donald Trump Announces End of Gaza War, Unveils $17 Billion Reconstruction Plan

U.S. President Donald Trump has declared the war in Gaza over, unveiling a $17 billion reconstruction and security initiative aimed at stabilising the territory and rebuilding after months of conflict.

Speaking in Washington, DC, on Thursday, Trump introduced a newly formed “Board of Peace,” describing it as the body that will oversee the transition from active conflict to long-term stability. He characterised the moment not as a temporary ceasefire but as a definitive end to hostilities that have gripped the region since October 2023.

“This is about making the peace stick,” Trump said, framing the initiative as a pathway to sustained security rather than a short-term truce.

Despite the announcement, uncertainties remain over what the declaration means in practical terms. Past ceasefires have broken down, and analysts note that without a comprehensive disarmament agreement involving Hamas and firm security guarantees, tensions could resurface.Israeli Prime Minister Benjamin Netanyahu has expressed support for the reconstruction framework.

Israeli Foreign Minister Gideon Sa’ar said the proposal is the first to tackle what he described as the root causes of the conflict, including the demilitarisation of Gaza and the disarmament of militant groups. However, no formal political settlement between Israel and Palestinian factions has been publicly announced.As part of the initiative, Trump pledged $10 billion in U.S. funding and said more than $7 billion would come from regional partners.

Ajay Banga confirmed that the World Bank would act as a limited trustee to manage donor funds. Meanwhile, Marc Rowan of Apollo Global Management outlined plans to construct 100,000 homes and invest heavily in infrastructure.

The proposal also includes the creation of an International Stabilisation Force (ISF), with expected troop contributions from countries including Indonesia, Morocco, and Kosovo, to help maintain security during the reconstruction phase.

While the rebuilding framework is extensive, broader political questions- including Palestinian statehood- remain unresolved. A technocratic Palestinian committee is expected to manage day-to-day governance, but no Palestinian political leaders are represented on the Board of Peace.

Qatar’s Prime Minister, Mohammed bin Abdulrahman bin Jassim Al Thani, was the only senior official at the summit to explicitly reference Palestinian aspirations for statehood.

U.S. Secretary of State Marco Rubio described the Board of Peace as a new approach to resolving protracted conflicts, arguing that traditional international mechanisms had failed to deliver lasting results.

Observers caution that while Trump’s declaration could shift diplomatic momentum, lasting peace will depend on sustained security arrangements and meaningful political agreements. If ceasefire violations resume or disarmament efforts falter, the claim that the war has ended may face renewed scrutiny.