NextFin News - A retired Israeli general has disclosed detailed plans for the construction of a massive, high-security residential camp for Palestinians in southern Gaza, specifically within the ruins of Rafah. According to Reuters on January 27, 2026, the project is being presented as the first of several "planned communities" designed to house displaced civilians under a rigorous security framework. The initiative is reportedly being coordinated through the U.S.-led Civil Military Coordination Center (CMCC) in Israel and is expected to be bankrolled by the United Arab Emirates (UAE). The plan involves the creation of "New Rafah," a zone that would eventually include 100,000 housing units, medical facilities, and schools, all managed under the oversight of U.S. President Trump’s newly established "Board of Peace."
The operational mechanics of the camp represent a significant departure from traditional humanitarian aid models. According to The Jerusalem Post, residents seeking entry into these communities must undergo intensive "security vetting" and biometric documentation. Once admitted, they will be issued electronic shekel wallets, a move that allows Israeli authorities to monitor all financial transactions and control the distribution of aid. This "surveillance ghetto" model, as some critics have termed it, is designed to prevent the re-emergence of hostile elements while providing a baseline of stability for a population that has seen 75% of its infrastructure destroyed. The timing of this revelation coincides with U.S. President Trump’s broader 20-point peace plan, which seeks to stabilize the region through economic incentives and private-sector-led reconstruction.
This strategic shift toward "alternative safe communities" reflects a pragmatic, albeit controversial, response to the staggering $70 billion reconstruction bill estimated by international experts. By leveraging Gulf Arab capital—specifically from the UAE—Israel and the U.S. are attempting to outsource the financial burden of governance while maintaining absolute security control. From a financial perspective, the involvement of real estate moguls like Jared Kushner and Steve Witkoff suggests that Gaza’s reconstruction is being viewed through the lens of large-scale urban development. Kushner recently presented a "master plan" at the World Economic Forum in Davos, highlighting the potential for Gaza to be redeveloped into industrial and residential blocks, provided security is guaranteed by an International Stabilization Force (ISF).
However, the plan carries profound geopolitical and legal risks. According to The Guardian, the project began with a "land deed" review in late 2025. If the sites for these new camps are built on land with existing Palestinian deeded claims, the project could be legally classified as the forcible displacement of a civilian population—a war crime under international law. Analysts like Daniel Levy, a former Israeli negotiator, suggest that the "New Rafah" project may serve as a tactical distraction. By labeling a small portion of the territory as "Happy Gaza" with modern amenities, Israel may find it easier to maintain its current occupation of approximately 58% of the Gaza Strip, effectively normalizing the permanent displacement of Palestinians from other areas.
The introduction of the electronic shekel wallet is particularly noteworthy as a tool of financial statecraft. By digitizing the economy of these camps, the managing authorities can implement a level of granular control rarely seen in humanitarian settings. This system not only prevents the funding of militant groups but also integrates the Palestinian population into a financial ecosystem entirely dependent on Israeli and U.S. oversight. For the UAE and other Gulf donors, this represents a "case study" in regional stabilization; if successful, the model could be replicated across the strip, creating a series of isolated, vetted enclaves that are easier to police than a contiguous urban environment.
Looking forward, the success of this plan hinges on the deployment of the ISF. While U.S. President Trump has called for international troops to provide security, no nation has yet formally pledged forces, fearing they will be drawn into a policing role against Hamas remnants. Without a neutral security buffer, the "planned communities" risk becoming permanent military outposts. As construction materials remain scarce and prices soar, the transition from mud-and-stone shelters to Kushner’s envisioned 100,000-unit "New Rafah" remains a distant and fraught ambition. The coming months will determine whether these camps are the first step toward a new regional order or merely a sophisticated architecture for long-term containment.
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