Reports indicate that the 'Peace Council' fund established by President Donald Trump is experiencing a significant funding shortfall, having received no financial support since its inception. In April, a senior U.S. official sought financial backing from Saudi Arabia, but discussions yielded no results.
This information comes at a sensitive time as Trump aims to raise one billion dollars from Gulf countries to support the fund created after a ceasefire agreement in October 2025, which ended the Israeli war on Gaza. The United Nations and human rights experts have recognized that this war constituted genocide, with over 72,800 Palestinians killed in the region.
Event Details
According to a report published by the Financial Times, the fund has not received any money from the financial fund established by the World Bank, despite Trump describing it as one of the most impactful in world history. Four months after its establishment, the fund remains mired in legal and political chaos.
In April, Arieh Lightstone, a key official in the Trump administration, met with Saudi Foreign Minister Faisal bin Farhan to discuss the financial commitment offered by Riyadh. However, the talks did not lead to any tangible results, raising concerns about the fund's future.
Background & Context
The 'Peace Council' was established after the United States mediated a ceasefire agreement in Gaza, coming at a time when humanitarian crises in the region are escalating. The fund aims to rebuild Gaza and improve living conditions for Palestinians, but the lack of funding is hindering any progress.
Although some countries like Morocco and the UAE have made small donations, the financial situation of the fund remains troubling. Morocco donated 3 million dollars, while the UAE contributed 20 million dollars to establish an office for Nikolay Mladenov, the region's special representative after the war.
Impact & Consequences
These difficult financial conditions indicate that the fund may struggle to implement any projects on the ground. Bishera Bahbah, a Palestinian-American businessman who assisted the U.S. in negotiating the ceasefire, described the fund's financial situation as "tragic," noting that the organization has not begun any work in Gaza due to the lack of funding.
This funding shortfall could exacerbate the humanitarian situation in Gaza and increase the suffering of Palestinians living in harsh conditions. Additionally, the lack of transparency regarding funding sources may raise questions about who is financing the fund and what the true objectives behind it are.
Regional Significance
The repercussions of this situation extend beyond Gaza, as the fund's financial instability reflects a lack of trust in U.S. efforts to achieve peace in the region. This could also affect relations between the United States and Gulf countries, which had hoped to support reconstruction efforts.
In conclusion, this situation highlights the urgent need for genuine and effective support for Palestinians in Gaza, indicating that political and financial solutions must be inclusive and transparent to achieve peace and stability in the region.