Chinese President Xi Jinping declared on Wednesday that China will provide $100 million in aid specifically earmarked for the reconstruction of the Gaza Strip, signaling Beijing’s growing willingness to play a direct role in one of the world’s most intractable conflicts.
Speaking at the Great Hall of the People during a high-level meeting with Palestinian Authority President Mahmoud Abbas, Xi described the pledge as “a concrete expression of China’s longstanding friendship with the Palestinian people and our firm support for their just cause.”
He added that the funds would focus on “urgent infrastructure restoration, housing, schools, hospitals, and water and electricity systems destroyed or damaged in disrepair.”
The $100 million package—roughly ¥710 million—is one of the largest single pledges China has ever made to Gaza and comes at a moment when international donors are struggling to mobilize resources amid donor fatigue and competing global crises.
According to Palestinian officials, Gaza requires an estimated $50–90 billion over the coming decades for full reconstruction following multiple rounds of conflict, most recently the devastating 2023–2024 war.
Breakdown of the Chinese pledge: $60 million in grants channeled through UN agencies and the Palestinian Authority for immediate rebuilding of schools, hospitals, and residential buildings.$30 million in zero-interest loans for critical infrastructure projects, including desalination plants and power grid rehabilitation.$10 million in humanitarian supplies (medical equipment, temporary shelters, and food aid) to be delivered in the first quarter of 2026.
Chinese state media emphasized that the aid is “unconditional” and will be coordinated with both the Palestinian Authority in Ramallah and local authorities in Gaza, a rare formulation that appears designed not to exclude Hamas-led administration in the Strip.
For years, Beijing maintained a cautious, largely rhetorical stance on the Israeli-Palestinian conflict, endorsing a two-state solution while avoiding direct financial involvement in Gaza’s reconstruction. The announcement marks a clear departure.
Analysts see several drivers behind the move:Strengthening China’s image as a neutral broker and counterweight to U.S. influence in the Middle East.Deepening ties with the Arab and Muslim world ahead of the 2026 China-Arab States Expo and the next Forum on China-Africa Cooperation. Positioning Chinese construction and engineering firms (notably PowerChina, China State Construction Engineering Corporation, and China Railway Construction) for lucrative rebuilding contracts in a future post-conflict Gaza.
In a subtle but pointed remark, Xi reiterated China’s call for “an immediate and permanent ceasefire, the lifting of the blockade on Gaza, and the resumption of meaningful peace talks based on UN resolutions and the Arab Peace Initiative.”
Palestinian President Mahmoud Abbas described the pledge as “historic” and thanked China for “standing with Palestine when others have turned away.”
Hamas spokesperson Hazem Qasim welcomed the aid, saying it “proves that China respects the will and suffering of the Palestinian people without political blackmail.”Israel’s Foreign Ministry issued a restrained response, stating it “takes note” of the announcement and will monitor how the funds are used.
Egypt and Qatar, the main mediators in ceasefire talks, privately welcomed the injection of new funds, though some Gulf diplomats expressed quiet concern that Chinese involvement could complicate their own reconstruction plans.As reconstruction remains stalled by the absence of a durable ceasefire and ongoing restrictions on dual-use materials entering Gaza, China’s pledge—while significant—represents only a fraction of the total need.
Yet it highlights a broader trend: Beijing is no longer content to remain on the sidelines of the Middle East’s most enduring crisis.For the war-battered residents of Gaza, the promise of Chinese cranes on the horizon offers a rare glimmer of hope that rebuilding might, one day, move from rhetoric to reality.

Signpost News is an Imphal-based media house that focuses on delivering news and views from Northeast India and beyond.