The visit of U.S. President Donald Trump to Israel on Monday, October 13, was hailed by many as a historic moment—just two years after the outbreak of the war in Gaza—as the first outlines of a new peace plan for the region began to take shape.

Yet behind the smiles and handshakes lies a cold reckoning: a war that claimed thousands of lives, cost billions of dollars, and left behind a deeply scarred society.

The Price for Israel

According to Israel’s Ministry of Finance, war expenses related to Gaza and Lebanon exceeded 112 billion shekels in 2024 (around 31 billion dollars). The total economic toll from 2023 to today is estimated at 300 billion shekels—about 88 billion dollars.

The country’s economy contracted temporarily, public debt rose to 70% of GDP, and citizens faced higher taxes and growing uncertainty. In remarks delivered in Tel Aviv, Trump called Israel “a miracle nation that paid dearly for its survival.”

Gaza — An Economy in Ruins

The toll on Gaza has been catastrophic. According to the UN and the World Bank, 92% of homes have been destroyed or damaged, while the local economy has collapsed by 83%.

The cost of reconstruction is estimated at 53 billion dollars—covering only the physical destruction, not the long-term social consequences.

The Role of the U.S. and the International Community

Since 2023, the United States has provided 21.7 billion dollars in military aid to Israel, according to the Costs of War Project at Brown University.

At the same time, Trump’s peace plan envisions the creation of a “Gaza Reconstruction Fund,” involving the U.S., the EU, Egypt, and Qatar. The first aid package is expected to roll out in 2026—if the ceasefire holds.

The Future Beyond the Ruins

Peace may be the next chapter, but the price remains staggering. The combined military, social, and humanitarian cost of the conflict now exceeds 120 billion dollars. Yet the true damage cannot be measured in money—it lies in the loss of trust, the unraveling of communities, and the human cost that endures long after the guns fall silent.