Will Pakistan Pay 1 Billion for Permanent Gaza Board Membership?

Will Pakistan Pay 1 Billion for Permanent Gaza Board Membership?

ISLAMABAD: Pakistan has received an official invitation from the UnitedStates to become a member of the proposed Gaza Board of Peace, a newinternational mechanism aimed at overseeing the massive reconstruction ofGaza following years of conflict. Reports indicate that while initialmembership carries no fee for the first three years, securing permanentstatus requires a one-time cash contribution of $1 billion within the firstyear, with funds earmarked exclusively for Gaza rebuilding projects. TheForeign Office confirmed receipt of the invitation but stressed that nodecision has been taken regarding payment or long-term participation.

The Gaza Board of Peace emerged as part of broader diplomatic efforts ledby the United States after the cessation of major hostilities in theregion. According to leaked sections of the draft charter circulated amongprospective members, the board will function as a multi-donor governancebody chaired initially by the US President. It is tasked with coordinatinginfrastructure projects, housing reconstruction, water and sanitationsystems, and economic revitalization in Gaza. Membership is open tocountries that have historically supported Palestinian development ordemonstrated capacity to contribute financially and technically topost-conflict recovery.

Pakistan’s potential involvement has generated significant discussionwithin diplomatic and economic circles in Islamabad. The country alreadymaintains a long-standing policy of supporting the Palestinian causethrough humanitarian assistance, diplomatic advocacy at the United Nations,and consistent calls for a two-state solution based on pre-1967 borders.Since 2008, Pakistan has provided over $100 million in various forms of aidto Palestinians, including medical supplies, scholarships, and emergencyrelief during multiple escalations of violence in Gaza.

Economic analysts point out that committing $1 billion would represent asubstantial burden on Pakistan’s strained public finances. The country iscurrently implementing a $7 billion IMF Extended Fund Facility programmethat imposes strict fiscal discipline, including revenue enhancement andexpenditure rationalization. External debt servicing obligations for thefiscal year 2025-26 are projected to exceed $25 billion, while foreignexchange reserves hover around $14 billion, barely covering three months ofimports. A one-off payment of this magnitude would require either freshborrowing, reallocation from development spending, or seeking exceptionalbudgetary support.

Government sources familiar with the matter indicate that the invitationwas extended through formal diplomatic channels in late December 2025 andformally acknowledged by the Ministry of Foreign Affairs in early January2026. Officials emphasize that Pakistan’s participation, if any, wouldalign with national interests and international obligations rather thanfinancial inducements. The Foreign Office spokesperson reiterated that anyengagement with the Gaza Board of Peace would remain consistent with UNSecurity Council resolutions and the principles enshrined in theOrganisation of Islamic Cooperation charter.

Supporters of joining the board argue that permanent membership couldenhance Pakistan’s diplomatic leverage in Middle Eastern affairs andprovide a platform to influence reconstruction priorities in favor ofPalestinian self-determination. Several Gulf states and European nationshave already expressed interest in similar permanent seats, signaling thatthe board may become a significant forum for post-conflict governance inthe region. Pakistan’s inclusion could also strengthen bilateral ties withWashington at a time when strategic alignment on counter-terrorism andregional stability remains important.

Critics, however, question the wisdom of allocating scarce resources to aninitiative perceived as heavily influenced by the United States. Someanalysts contend that the $1 billion threshold effectively creates a tieredmembership structure favoring wealthier nations, potentially marginalizingdeveloping countries that have provided consistent political support toPalestine without large financial contributions. There are also concernsabout governance transparency, procurement integrity, and the risk thatfunds could be diverted from direct Palestinian benefit.

Parliamentary voices have begun weighing in on the issue. Members of theNational Assembly’s Standing Committee on Foreign Affairs have sought adetailed briefing from the Foreign Office, while opposition lawmakers havedemanded public disclosure of the full draft charter before any commitmentis considered. Civil society organizations advocating for Palestinianrights have urged the government to prioritize humanitarian channels overinstitutional membership that carries a high financial cost.

As of mid-January 2026, no formal response beyond acknowledgment of theinvitation has been sent to Washington. Diplomatic observers suggest thatPakistan is likely to adopt a cautious approach, possibly opting forobserver status or project-specific contributions instead of permanentmembership. The final decision is expected to involve consultations at thehighest level, balancing foreign policy principles, economic realities, andthe enduring commitment to the Palestinian people.

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