Speaking in Washington DC, Opposition Leader Yair Lapid presented on Tuesday a “day after” plan for Gaza, envisioning an extended Egyptian guardianship of the war-torn Strip.

“Israel cannot agree to Hamas remaining in power,” said the former prime minister. “The Palestinian Authority is neither willing nor able to manage Gaza in the near future. Israeli occupation is neither desirable nor possible. A constant state of chaos is both a security threat and a humanitarian disaster.”

The plan would have Egypt take responsibility for managing Gaza for eight years, with the option to extend it to 15 years.

In exchange, Cairo would have its foreign debt paid off by the international community. Lapid argued that if Egypt’s economy does not recover, the regime’s “leadership is at risk. That is bad news for us all.”

Egypt’s nation of 106 million has been grappling with foreign currency shortages and economic hardships that have prompted increased migration in recent years.

Much of Egypt’s foreign currency comes from shipping through the Suez Canal and tourism, both of which have been drastically reduced during the fighting in Gaza and Houthi attacks on shipping headed to the canal. Inflation in Egypt has been approaching record levels, with many citizens finding it difficult to make ends meet.

“Egypt is a key strategic partner and a reliable ally for almost fifty years,” said Lapid, speaking at the Foundation for Defense of Democracies think tank. “A strong, moderate, pragmatic Sunni state and a crucial player in the region. President [Abdel Fattah] el-Sissi is a stabilizing force in the Middle East and Africa. He is a long-time fighter against religious fanaticism.”

Egyptian troops would be deployed to Gaza alongside forces from Gulf states, during which time “the conditions for self-governance in Gaza will be created and the process of the total demilitarization of Gaza will be completed,” Lapid suggested.

Lapid noted that this solution has historical precedent. Egypt ruled Gaza from 1948 to 1956 and from 1957 to 1967, with the support of the Arab League. “They didn’t occupy Gaza, they kept it for the Palestinians,” he explained.

He also said that immediate security threats would be handled by a joint Israel-Egypt-US mechanism.

Over the eight years of Egyptian guardianship, the Palestinian Authority would undergo significant reforms in corruption, support for terrorism, and education, in order to prepare for eventual control of Gaza.

Lapid presented the plan to the top levels of the Trump administration, an official told The Times of Israel.

Lapid noted that Egyptian officials have not yet responded to the proposal. However, the Saudi state-owned Al Arabiya network reported on Tuesday that Egypt has rejected the plan. “Egypt will not be led by an attempt to administer Gaza,” Egyptian officials told the Saudi outlet.

The plan is one among many proposals from international leaders to address the “day after” Hamas rule in Gaza, which has moved to the forefront of diplomatic concerns since a ceasefire between Israel and Hamas came into effect January 19.

US President Donald Trump shocked world leaders when he presented his plan to redevelop Gaza during Prime Minister Netanyahu’s White House visit on February 4. Trump proposed that the United States would assume control over the Gaza Strip, relocate its approximately two million Palestinian residents to neighboring Arab countries, and redevelop the area into what he called the “Riviera of the Middle East.”

Lapid emphasized that his solution does not contradict Trump’s plan, but rather creates the conditions necessary to rehabilitate Gaza. He added that under his plan, the US would cooperate with Egypt to coordinate investments in Gaza, as Trump’s plan outlines. He also backed elements of Trump’s vision in which Gazans are free to emigrate if they so choose, and the US would oversee massive investment into Gaza.

At the same time, he noted that Egypt wants to avoid the transfer of Gazans into Egypt, and did not call for Gazans to be evicted.

Saudi Arabia and the Abraham Accords countries will be partners in facilitating the plan, he said.

Several Arab countries, including Egypt and Jordan, rejected Trump’s idea, with much of the region viewing it as highly destabilizing. Human rights organizations condemned the proposal, arguing that it would constitute forced displacement, potentially qualifying as a war crime.

Arab leaders gathered on Friday in Saudi Arabia, which is leading efforts to counter Trump’s Gaza plan. While united in opposition to Trump’s proposal, Arab leaders disagree over who should take charge of the Strip and fund its reconstruction.

Currently, the Arab initiative, primarily based on an Egyptian framework, calls for the establishment of a national Palestinian committee to administer Gaza, excluding Hamas, while facilitating international involvement in reconstruction efforts without forcing Palestinians to leave. Egyptian officials involved in the discussions emphasized that the proposed committee would operate independently of the Palestinian Authority.

High-level Israeli officials have supported Trump’s proposal, with Defense Minister Israel Katz instructing the military earlier this month to prepare a plan that would allow for voluntary Palestinian emigration from Gaza, while some US senators expressed doubt over the feasibility of Trump’s plan, expecting an improved Arab alternative.

Lapid called for the full completion of the ceasefire deal with Hamas, which remains in its first stage, and would see the release of all the hostages held in Gaza while Israel stays on the perimeter.

Two international diplomats told The Times of Israel that elaborate hostage-release ceremonies by Hamas throughout phase one of the ceasefire have undermined the terror group’s chances to hold control over Gaza in the future, and led to increased pressure from the Trump administration on Arab states to negotiate a plan putting Hamas out of power.

Reuters contributed to this report.