European Union countries are preparing to enter a new phase of participation in the reconstruction of the Gaza Strip following the ceasefire agreement between Israel and Hamas, announcing a three-year support plan worth 5 billion euros, described by European officials as the largest humanitarian and developmental commitment since the Ukraine war.

According to the Spanish newspaper Nius, the European Commission indicated that approximately 2 billion euros will be allocated for the first phase, directed towards vital infrastructure including electricity, water, sanitation, and hospitals, with repair work set to begin in the first quarter of 2026.

European Commission President Ursula von der Leyen praised the ceasefire agreement reached between Israel and Hamas as part of the U.S.-led peace plan, calling for a permanent ceasefire in Gaza.

In a message posted on her X platform account, von der Leyen emphasized the need to release all hostages, ensure full implementation of the agreement, and create suitable conditions to start Gaza’s reconstruction. She stated in one of the strongest support messages from Brussels regarding the conflict that this suffering must end.

The Spanish newspaper El Periódico noted that European aid is distributed along three main tracks: rehabilitating destroyed infrastructure, supporting the local economy and youth employment, and financing essential services in health, education, and energy sectors.

This step comes amid growing European conviction that Gaza’s stability is essential for regional security in the Middle East and to reduce irregular migration waves, a constant concern for Brussels.

The European plan involves creating a special reconstruction fund for Gaza jointly managed by the EU and the World Bank, with contributions from Arab countries and the United Nations.

About 1.5 billion euros will be directed to support the local economy through small and medium projects, encouraging agriculture and light industries, while the remainder will support education and housing reconstruction programs, especially in the northern Gaza Strip, which suffered extensive destruction.

The EU also announced a maritime and air humanitarian corridor to expedite aid entry, along with a civilian mission for financial monitoring and oversight to ensure transparency and prevent corruption in fund distribution.

Political and Diplomatic Moves

European Commission President Ursula von der Leyen stated that Gaza’s reconstruction is not just a financial matter but a political commitment to ensure the war does not return. France and Italy expressed readiness to participate in a civilian monitoring force to secure the truce and oversee crossings, while Germany emphasized linking reconstruction to a comprehensive political process leading to a two-state solution.

German Chancellor Friedrich Merz described the ceasefire agreement reached between Israel and Hamas after more than two years of war in Gaza as “good news” and confirmed Germany’s anticipation of a Gaza reconstruction conference with Egypt.

In a statement published by Infobae, he said that after more than two years of war in Gaza, a ceasefire agreement was finally reached, which is good news for the peoples of the Middle East and beyond. Merz thanked Egypt and former U.S. President Donald Trump, as well as Qatar and Turkey, for mediation efforts towards the ceasefire and peace.

Despite general consensus on the importance of the European role, divisions exist within the EU regarding funding mechanisms and oversight, as well as debates on dealing with Hamas. Some Eastern countries, such as Hungary and the Czech Republic, oppose any direct cooperation with current Gaza authorities, while countries like Spain and Ireland call for a bolder stance towards Israel and accountability for civilian damages.

Observers warn that these differences may slow the implementation of the reconstruction plan, especially amid the region’s security and political complexities.