Rebuilding Gaza to cost $71bn, must include Palestinians, report finds

By Al Jazeera Staff

The report was published on 23 Jul 202623 Jul 2026.

The conflict, ongoing for over two years, has devastated Gaza's infrastructure and economy.

According to a new joint Oxfam report, the cost of rebuilding Gaza is seven times greater than all previous reconstruction efforts in the territory over the past twenty years.

The devastation from more than two years of war has killed at least 73,000 Palestinians, injured 173,000 and displaced 1.9 million. It has left the Gaza Strip needing an estimated $71.4bn to recover, according to the UN-EU-World Bank Rapid Damage and Needs Assessment (RDNA) released in April.

The report by Oxfam, MAS, and PalTrade states that human development in Gaza has regressed by 77 years and stresses that reconstruction must include direct Palestinian participation.

“Reconstruction is not only a humanitarian task; it is a political one. A plan designed in foreign capitals, however well-funded, would be a cosmetic exercise – simply another form of control over Palestinian land and lives. Our consultations across Gaza carried one unmistakable message: nothing about our future without us,” Misyef Jamil, senior researcher at MAS, said.

How much will it cost to rebuild Gaza?

The Gaza Rapid Damage and Needs Assessment (RDNA), released in April, projected recovery and reconstruction costs exceeding $71.4bn over a decade, and put total damage and economic losses at $57.9bn.

It also found that $26.3bn will be required in the first 18 months of Gaza’s reconstruction to restore essential services, rebuild critical infrastructure and support its economic recovery.

To put $71.4bn into perspective, it’s enough to fund the construction of nearly 48 Burj Khalifas, the world’s tallest building.

This is seven times the combined construction following each Israeli military offensive in Gaza over the past two decades, according to Oxfam, which compared recovery-needs assessments across Gaza’s major wars since 2008.

What is the scale of destruction and human toll?

The report outlines the level of destruction to housing, education and healthcare as well as the impact on the cultural and social fabric that has been erased as a result of the loss of mosques, museums and other cultural landmarks.

According to the report and OCHA:

• 371,888 housing units have been destroyed or damaged
• There are 66 million tonnes of rubble – equivalent to the mass of 11 Pyramids of Giza
• More than 50,000 people need long-term rehabilitation
• 83 percent of people with disabilities were forced to abandon their assistive devices
• More than 58,000 children have lost one or both parents
• 55 percent of hospitals are not functioning
• 93 percent of school buildings have been damaged or destroyed

Before reconstruction can begin, an estimated 66 million tonnes of rubble must be cleared. The debris has left entire neighbourhoods impassable, particularly for people with disabilities, many of whom are effectively confined because they cannot navigate the devastated landscape.

The rubble also poses serious health and safety risks. It is believed to contain unexploded bombs and shells, threatening both clearance crews and nearby communities. Damaged buildings may release asbestos and other hazardous materials into the air, while sewage, medical waste and industrial chemicals further contaminate the environment.

Adding to the challenge, an estimated 8,000 to 11,000 Palestinians are believed to be buried under the rubble. Their remains must be recovered, and they must be identified with dignity before large-scale rebuilding can proceed.

Clearing the rubble is a massive undertaking involving the removal, sorting, decontamination, recycling and disposal of millions of tonnes of debris. It is considered a critical first step towards reconstruction, but one that is expected to take years and require substantial funding, specialised equipment and international support.

How long will it take to rebuild?

The report lays out a five-year plan for rebuilding Gaza which asserts that Palestinians should be in the driving seat throughout the process and not driven by outside plans which risk carving up the Palestinian territories.

Working alongside the European Union, Gulf Arab states, Egypt, the UN and other international agencies, the four-phase roadmap aims to restore Gaza’s essential services, rebuild its infrastructure and lay the foundations for long-term development.

These stages include:

Phase 1: Emergency relief and stabilisation

This phase is centred on access and minimum functioning systems costing about $10bn:

• Secure humanitarian access
• Restore fuel, water, health, shelter and communications
• Clear most pressing rubble and recover human remains
• Provide cash, protection and emergency documentation
• Prioritise women-headed households, disabled people, injured people, older people and caregivers

Phase 2: Early recovery and service restoration

This phase is focused on reconnecting communities, services and local markets and would cost about $15bn:

• Repair damaged housing, clinics, schools, water, sanitation and hygiene (WASH), roads and energy systems
• Restore banking, payments and market access
• Support local firms and Palestinian labour; expand legal aid

Phase 3: Medium-term reconstruction

This is where rebuilding essential infrastructure, institutions and neighbourhood life would come in and cost about $25bn:

• Deliver large-scale housing, schools, hospitals, WASH, energy, transport and municipal systems
• Integrate accessibility, care systems, protection and gender-responsive budgeting
• Rebuild productive assets and public services

Phase 4: Long-term development

The final phase is centred on access and minimum functioning systems costing about $20bn. It would involve:

• Strengthening trade; shifting recovery into Palestinian hands instead of externally
• Helping women in economic participation

The $71.4bn estimate is seven times the combined cost of rebuilding after previous Israeli offensives since 2008. The report highlights that beyond physical damage, human development has been set back by 77 years. Reconstruction is framed as a political issue, with local consultations insisting on Palestinian agency. The destruction includes not only housing and infrastructure but also cultural landmarks, indicating a comprehensive societal impact.