Proposal includes unfreezing billions in Libyan assets in exchange for resettlement
WASHINGTON — The Trump administration is reportedly developing a controversial plan to permanently relocate up to one million Palestinians from the Gaza Strip to Libya citing five sources familiar with the matter.
According to the report, discussions have taken place between U.S. officials and Libyan leadership, with the plan under serious consideration. NBC cited two individuals with direct knowledge of the matter and a former U.S. official, who confirmed that the United States has raised the proposal with Libyan authorities.
In return for hosting the displaced Palestinians, the plan reportedly includes releasing billions of dollars in frozen Libyan assets, which the United States blocked more than a decade ago. The funds would act as a financial incentive for Libya to agree to the large-scale resettlement.
The news comes amid rising tensions in the Middle East. On Thursday, President Donald Trump told a business roundtable in Qatar that the U.S. would “take over” Gaza and transform it into a “freedom zone,” claiming there was “nothing left to save” in the territory.
The humanitarian crisis in Gaza has continued to escalate. In 2021, the United Nations reported that more than 52,000 Palestinians had been displaced due to Israeli air strikes that destroyed or severely damaged nearly 450 buildings. In response to such strikes, the Palestinian group Hamas has launched rocket attacks into southern Israel, citing Israeli actions against civilians.
The reported U.S. relocation plan is expected to spark significant debate both regionally and internationally, as it involves sensitive issues of displacement, sovereignty, and the long-standing Israeli-Palestinian conflict.
