Senator Ted Cruz has voiced significant concerns regarding a provision within the Board of Peace's Gaza roadmap that could allow for up to $400 million to address unpaid obligations incurred during Hamas's nearly two-decade rule.
Concerns have long existed among U.S. officials that Hamas has exploited civilian and humanitarian funding channels to bolster its infrastructure. This resurfaced with reports that the Board of Peace's plan might permit a successor government to settle legitimate debts owed to public-sector workers, suppliers, and contractors from the Hamas era. Critics argue this could inadvertently benefit the terrorist group or provide avenues for resource diversion.
Board of Peace officials, however, have rejected characterizations that the provision constitutes a financial agreement with Hamas. Nickolay Mladenov, the Board's high representative for Gaza, stated on X that claims of a financial agreement are false and that no such proposal was discussed or negotiated. He emphasized the Board's objective of disarming Hamas and establishing civilian governance supported by an international security presence.
A senior Board of Peace official, speaking on background, clarified that the provision involves a commitment to analyze data, not an upfront commitment to fund $400 million. This three-year review process would allow a successor administration to determine which unpaid obligations are necessary to maintain essential services and relationships with legitimate suppliers. The official stressed that each claim would be individually vetted, and any payment potentially benefiting Hamas would be rejected, comparing the process to a corporate restructuring where legitimate debts must be managed for continuity.
Cruz, however, maintained his alarm, stating that money is fungible and that international donors financing Hamas's debts would lend credibility to the group. He argued that Hamas should be eradicated before new resources flow into Gaza. The Board official countered that Hamas is currently insolvent and was unlikely to pay many of these creditors itself, suggesting that the Board's actions would be separate from any Hamas budget.
The Board official also addressed concerns about Hamas potentially extracting funds from suppliers or employees receiving payments. He stated that if there is a risk of money reaching Hamas, the process would be halted. Officials would rigorously examine each recipient, service, and the ultimate destination of funds. The Board also intends to pursue the recovery of assets believed to have been stolen by Hamas, using those assets to satisfy obligations where possible. Any shortfall would be covered by regional partners, not the United States.