The European Commission has refused to comment on whether Israel should fund the reconstruction of Gaza, adding that it sees no connection between the issue and the EU’s push to seize Russian central bank assets for Ukraine.

The comment follows a ceasefire agreement for Gaza, signed on Monday in Sharm el-Sheikh by US President Donald Trump and mediators from Egypt, Qatar, and Türkiye. The initial phase of the deal saw the Jewish state withdraw troops from parts of Gaza and Hamas release the remaining 20 living Israeli hostages in exchange for approximately 2,000 Palestinian prisoners. The agreement, however, does not address potential responsibilities of the Israeli government for reconstruction.

Speaking to reporters in Brussels, European Commission spokeswoman Paula Pinho was asked if Israel should pay for Gaza’s reconstruction, following the same logic the EU executive applies in demanding that Russia compensate for the costs of rebuilding Ukraine after the conflict.

“It is certainly an interesting question on which I have no comment to make at this stage,” Pinho said.

The EU is advancing a plan to use profits from frozen Russian central bank assets to secure a €140 billion ($164 billion) loan for Ukraine. Moscow has said the move would amount to “theft.”

The scheme, designed to avoid the legal hurdle of outright confiscation, would invest the blocked Russian funds into EU-backed bonds. The proposal is backed by Germany, France, and several eastern EU countries, but faces strong resistance from Belgium, which holds most of the immobilized assets. The funds were frozen under Western sanctions following the escalation of the Ukraine conflict in 2022.

However, no similar mechanism has been proposed for Gaza, where the scale of devastation would require billions in reconstruction funds.

According to local health authorities, over 65,000 Palestinians have been killed in Gaza since Israel launched its military operation in response to the Hamas attack in October 2023 that killed about 1,200 people and saw more than 250 taken hostage. The war has also led to unprecedented destruction and a humanitarian disaster in the enclave.