Arab leaders adopted an Egyptian reconstruction plan for Gaza on Tuesday that would cost $53 billion and avoid displacing Palestinians from the enclave, in contrast to US President Donald Trump's 'Middle East Riviera' vision.
The White House said the plan adopted by Arab states did not address Gaza's reality and that Trump stood by his proposal.
Trump's plan to displace Palestinians in a US takeover of the enclave received global condemnation last month and echoed long-standing Palestinian fears of being permanently driven from their homes.
Egyptian President Abdel Fattah Al Sisi said the Egyptian proposal had been accepted at the closing of a summit in Cairo.
Sisi said at the summit that he was certain Trump would be able to achieve peace as the Gaza Strip has been left devastated by Israel's military assault.
The major questions that need to be answered about Gaza's future are who will run the enclave and which countries will provide the billions of dollars needed for reconstruction.
Sisi said Egypt had worked in cooperation with Palestinians on creating an administrative committee of independent, professional Palestinian technocrats entrusted with the governance of Gaza after the end of the Israel-Gaza war.
The committee would be responsible for the oversight of humanitarian aid and managing the Strip's affairs for a temporary period, in preparation for the return of the Palestinian Authority (PA), he said.
The other critical issue is the fate of Hamas, the PA's rival, whose October 7, 2023, attack on Israel killed 1,200 people with more than 250 taken as hostages, according to Israeli tallies.
The attack was followed by Israel's military assault on Gaza that has killed more than 48,000 Palestinians, according to the local health ministry. The assault has also displaced nearly Gaza's entire population and led to accusations of genocide and war crimes that Israel denies.
The Islamist faction that has run Gaza since 2007 said in a statement it agrees to the Egyptian committee proposal.
Hamas has agreed it will not field candidates to the Cairo-proposed committee but it would have to give its consent to the tasks, members and the agenda of the committee that would work under the PA's supervision.
Egyptian Foreign Minister Badr Abdelatty said late on Tuesday the names for the individuals participating in the committee had been decided.
Palestinian President Mahmoud Abbas, who heads the PA, said he welcomed the Egyptian idea and urged Trump to support such a plan that would not involve displacing Palestinian residents.
Abbas, in power since 2005, also said he was ready to hold presidential and parliamentary elections if circumstances allowed, adding his PA was the only legitimate governing and military force in the Palestinian Territories.
Hamas said it welcomed the elections.
Washington voiced its disapproval.
"The current proposal does not address the reality that Gaza is currently uninhabitable and residents cannot humanely live in a territory covered in debris and unexploded ordnance," White House spokesman Brian Hughes said when asked whether Trump would support the Arab leaders' plan.
"President Trump stands by his vision to rebuild Gaza free from Hamas," he said.
Any reconstruction funding would require heavy buy-in from Gulf Arab states such as the United Arab Emirates and Saudi Arabia.
Palestinian Prime Minister Mohammed Mustafa said the reconstruction fund would seek international financing as well as oversight and likely be located in the World Bank.
Egypt's Reconstruction Plan for Gaza is a 112-page document that includes maps of how its land would be re-developed and dozens of colourful AI-generated images of housing developments, gardens and community centres. The plan includes a commercial harbour, a technology hub, beach hotels and an airport.