NextFin news, On October 11, 2025, thousands of displaced Palestinians began returning to Gaza City following a fragile ceasefire agreement between Israel and Hamas, brokered under the administration of U.S. President Donald Trump. The returnees, who had fled to safer areas within Gaza during the two-year conflict, were met with scenes of utter devastation. Entire neighborhoods lay in ruins, with residential blocks flattened and critical infrastructure obliterated. Witnesses described the destruction as akin to a "nuclear bomb" having hit the city, underscoring the unprecedented scale of damage.
The United Nations estimates that approximately 92% of residential buildings in Gaza City have been destroyed or severely damaged, with the overall destruction in the Gaza Strip reaching 84%. This translates to nearly 283,000 homes and apartments affected, displacing over 700,000 people in Gaza City alone. The volume of rubble is staggering, estimated at around 60 million tonnes, equivalent to the mass of 25 Eiffel Towers. The debris is not only concrete and steel but also contains unexploded ordnance and human remains, complicating clearance efforts.
Residents returning to their neighborhoods face a dire lack of basic necessities. Water treatment plants, including six major facilities, have been destroyed or severely damaged, leaving over 70% of water infrastructure inoperable. This has precipitated a public health crisis, with heightened risks of waterborne diseases such as cholera and diarrheal illnesses, particularly threatening children. Electricity supply, already precarious before the conflict, has been further decimated due to damage to power lines and fuel shortages for Gaza's sole power plant.
The Israeli military's partial withdrawal from Gaza City has allowed for limited humanitarian aid to enter, but distribution remains constrained by border closures and security concerns. The World Food Programme has reported readiness to restore food distribution points but awaits expanded access. Meanwhile, internal security challenges persist, with reports of violence and factional clashes within Gaza.
The reconstruction challenge is monumental. Experts from the United Nations Development Programme and international engineering firms emphasize that rebuilding Gaza is "worse than starting from zero" because reconstruction must begin atop hazardous rubble. The clearance of debris is a prerequisite for restoring essential services such as water, sanitation, electricity, and housing. However, the entry of heavy machinery and construction materials is tightly restricted by Israeli authorities, citing security concerns over dual-use goods potentially aiding militant groups.
Financially, the damage is estimated at nearly $70 billion, a figure that dwarfs previous conflicts in the region. The rebuilding of housing alone could take decades without significant international investment and coordinated planning. RAND Corporation analysts suggest that without strategic urban planning, reconstruction could extend over 80 years. They advocate for innovative approaches such as transitional housing camps designed to evolve into permanent neighborhoods, facilitating faster resettlement and community rebuilding.
Politically, the situation remains fragile. The ceasefire is tenuous, with ongoing disputes over the return of hostages and bodies between Israel and Hamas threatening renewed hostilities. President Donald Trump has publicly warned of military action should violence escalate. The humanitarian imperative to rebuild Gaza is thus intertwined with complex geopolitical dynamics, requiring sustained diplomatic engagement and multilateral cooperation.
Looking forward, the reconstruction of Gaza City will require a multi-dimensional approach integrating humanitarian aid, infrastructure redevelopment, and socio-economic revitalization. The international community, including the IMF and World Bank, is beginning to assess frameworks for financial support and reconstruction governance. However, success hinges on securing durable peace, lifting restrictions on material flows, and ensuring transparent, inclusive rebuilding processes that address the needs of Gaza's displaced population.
In conclusion, the return of Palestinians to their devastated homes in Gaza City marks a critical juncture. The scale of destruction is unparalleled, and the path to recovery is fraught with logistical, financial, and political challenges. Without coordinated international support and a stable security environment, the humanitarian crisis risks deepening, prolonging displacement and suffering for Gaza's population.
According to The Guardian, the devastation in Gaza City is "like a nuclear bomb has hit," capturing the shock and despair of returning residents. The BBC highlights the colossal task of debris removal and infrastructure rebuilding, emphasizing the need for a deep-water port to facilitate large-scale material imports. Khaleej Times reports on the immediate hardships faced by families returning to ash-covered homes amid the approaching winter. Middle East Eye documents the human toll, with thousands still missing and rescue teams struggling with limited equipment. These authoritative sources collectively underscore the urgent need for comprehensive reconstruction efforts underpinned by political stability and humanitarian access.
Explore more exclusive insights at nextfin.ai.
