US President Donald Trump has warned that he may withhold financial assistance to Jordan and Egypt if they refuse to permanently resettle a significant number of Palestinians from Gaza. His comments, aired on Monday night in an interview with Fox News, mark a sharp escalation in pressure on key allies in West Asia as he pushes a contentious plan to relocate Gaza’s population for redevelopment.
No return to Gaza
Trump had earlier proposed taking over the Gaza region and turning it into "the Riviera of the Middle East”. His ideas to relocate Palestinians to Jordan and Egypt were met with firm opposition by both nations.
After his initial comments, Secretary of State Marco Rubio and White House press secretary Karoline Leavitt told reporters that the relocation plans were "temporary" and "interim". However, when asked about Palestinians returning to Gaza on Monday, Trump firmly stated that Palestinians who left Gaza under this proposal would not be allowed to return.
“I think I could make a deal with Jordan. I think I could make a deal with Egypt,” Trump said, making it clear that he envisions a permanent displacement rather than a temporary resettlement.
Jordan and Egypt response
Both Jordan and Egypt have firmly opposed any large-scale resettlement of Palestinians. Jordan, where more than half of the population is of Palestinian descent, faces internal political sensitivities, and its monarchy has a history of tensions with Palestinian factions. Accepting an influx of displaced Palestinians could lead to significant unrest within the country.
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Egypt, which shares a border with Gaza, has also rejected the idea. According to a report by The New York Times, officials in Cairo have expressed concerns that relocating Palestinians to Egypt could create security risks, including potential militant activity that might trigger Israeli military responses. Additionally, Egypt fears that accepting refugees from Gaza could embolden Israel to push for further displacement from the West Bank.
Trump is also expected to meet with Jordan’s King Abdullah II at the White House today amid these rising tensions.
US foreign aid to Jordan and Egypt
Trump’s proposal to cut aid places Jordan and Egypt in a difficult position. Both countries are among the largest recipients of US military and economic assistance. In 2023, Jordan received approximately $1.69 billion, while Egypt was allocated $1.5 billion in US foreign assistance, according to federal data.
“If they don’t agree, I would conceivably withhold aid,” he told Bret Baier of Fox News, just ahead of a scheduled meeting with Jordan’s King Abdullah II, which was set to take place on Tuesday.
Potential regional impact
Trump’s statements have triggered strong reactions across West Asia. Many see the proposal as an endorsement of forced displacement, with critics arguing that such a move could be classified as ethnic cleansing. The remarks have also increased tensions ahead of Trump’s meeting with King Abdullah, where the issue is expected to take centre stage.
Meanwhile, Israeli hardliners have long supported the idea of relocating Palestinians out of Gaza and the West Bank, further complicating the geopolitical landscape. If Jordan or Egypt were to comply, it could set a precedent with far-reaching consequences for Palestinian populations in other areas.

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