Board of Peace denies $400M deal to cover Hamas debts

Mladenov said Hamas would be excluded from Gaza’s governance and denied it would have access to Board of Peace funding.

By Pesach Benson, TPS

The Board of Peace on Wednesday rejected media reports that it had agreed to cover $400 million in Hamas debts, saying the organization has never discussed or considered such an arrangement.

“There is no financial agreement between the Board of Peace and Hamas,” Nickolay Mladenov, the organization’s senior representative to Gaza, wrote on X.

“No such proposal was discussed, negotiated, or considered, and it will not be on the table in the future either.”

Mladenov said Hamas would be excluded from Gaza’s governance and denied it would have access to Board of Peace funding.

He said funds would be subject to contractual reviews, project verification, and audits by donor governments.

He also defended the U.S.-backed Board of Peace’s proposed framework for Gaza, urging Israel to back a roadmap centered on disarmament, civilian administration, and an international security presence under U.S. command.

Mladenov argued that the alternative would be either Hamas retaining power and rebuilding its military capabilities or Israel resuming full control of Gaza, with significant human, military, and economic costs.

The International Stabilization Force would support the disarmament process and establishment of a civilian government excluding Hamas, he said.

Mladenov added that a mechanism to monitor violations has already begun operating.

Prime Minister Benjamin Netanyahu rejected on Sunday the board’s 15-point proposal concerning the Gaza war, insisting that Israel will not withdraw its forces until Hamas is fully disarmed.

Board of PeaceHamasNickolay Mladenov