The accord would mark a major foreign policy victory for Trump, who has pledged to bring resolution to protracted global conflicts including those in Gaza and Ukraine.

Israeli hostages held in Gaza may be released as early as Saturday under a U.S.-brokered plan aimed at ending the devastating war in the enclave, according to a source familiar with the agreement. The Israeli military is expected to complete the first stage of a partial withdrawal from Gaza within 24 hours of the deal being signed.

The formal signing of the ceasefire agreement, which constitutes the first phase of U.S. President Donald Trump’s peace initiative for Gaza, is scheduled for Thursday at noon Israel time (0900 GMT), the source said.

The deal comes amid cautious optimism and widespread relief across both Israel and the Palestinian territories after Trump announced late Wednesday that Israel and Hamas had reached consensus on a ceasefire and hostage release plan — a move that could mark the most significant diplomatic breakthrough since the war erupted two years ago.

A war that reshaped the Middle East

The conflict, which began following the October 7, 2023 Hamas attacks, has left more than 67,000 people dead in Gaza, according to local authorities, and has drawn in regional actors including Iran, Yemen, and Lebanon.

Israel’s assault flattened much of the coastal strip, while sparking growing global condemnation over what rights experts and a U.N. inquiry have described as possible genocide — an accusation Israel strongly denies, maintaining its operations constitute self-defense.

“Thank God for the ceasefire, the end of bloodshed and killing,” said Abdul Majeed Abd Rabbo, speaking from the southern Gaza city of Khan Younis. “All of Gaza is happy, all Arab people are happy, and the world is happy with the end of the bloodshed.”

Despite the jubilation, analysts warn that the agreement remains fragile, lacking clarity on several core issues including post-war governance of Gaza and the long-term fate of Hamas.

Trump announces breakthrough

“I am very proud to announce that Israel and Hamas have both signed off on the first phase of our Peace Plan,” Trump said on Truth Social. “This means that all of the hostages will be released very soon, and Israel will withdraw their troops to an agreed line as the first steps toward a strong, durable, and everlasting peace.”

If successfully implemented, the accord would mark a major foreign policy victory for Trump, who has pledged to bring resolution to protracted global conflicts including those in Gaza and Ukraine.

“This deal brings us closer than any previous effort to halting a war that has engulfed the region,” a senior Western diplomat involved in the talks told Al Arabiya English on condition of anonymity. “But much will depend on how both sides implement the next steps.”

Netanyahu hails ‘national victory’

Israeli Prime Minister Benjamin Netanyahu said his government would convene on Thursday to formally approve the plan.

“With the approval of the first phase of the plan, all our hostages will be brought home,” Netanyahu said in a statement. “This is a diplomatic success and a national and moral victory for the State of Israel.”

The conflict, which saw Israel assassinate top leaders of Hamas, Hezbollah, and several Iranian commanders, has redrawn the Middle East’s political landscape. Yet Israel has faced unprecedented global backlash over the scale of civilian casualties and destruction in Gaza.

Under the new accord, Israel is to withdraw troops from specific areas of Gaza while maintaining “security control” along agreed buffer zones. In exchange, Hamas is expected to release all surviving hostages, with their return to begin within 72 hours of the agreement’s ratification.

Hostage release expected within days

Families of hostages gathered in Hostages Square in Tel Aviv to welcome the announcement, many waving Israeli flags and holding photos of their loved ones.

“President Trump, thank you very much,” said Hatan Angrest, whose son Matan is among those still held. “Our children would not be coming home without your help.”

According to a Hamas source, living hostages will be handed over within 72 hours of the deal’s approval, while recovery of the bodies of deceased hostages — believed to number about 28 — “will take longer” due to the extensive destruction in Gaza.

Trump told Fox News’ “Hannity” program that hostages could be released by Monday, adding that coordination was underway with Qatari and Egyptian mediators to oversee the exchange.

Israeli officials say 1,200 people were killed and 251 taken hostage during the Hamas-led cross-border assault in 2023. Of the 48 hostages confirmed to remain in Gaza, around 20 are believed to still be alive.

Hamas confirms deal includes withdrawal, prisoner exchange

Hamas confirmed in a statement that it had agreed to the terms of the ceasefire, which include an Israeli military withdrawal from Gaza and a hostage-prisoner exchange.

“We affirm that the sacrifices of our people will not be in vain,” Hamas said. “We will remain true to our pledge — never abandoning our people’s national rights until freedom, independence, and self-determination are achieved.”

In the southern city of Khan Younis, Palestinian resident Khaled Shaat described the news as “historic.”

“These are long-awaited moments after two years of killing and genocide that were committed against the Palestinian people,” he said.

However, several key aspects of the deal remain unresolved — particularly who will govern Gaza once Israeli troops withdraw and whether Hamas will retain any administrative or security role.

Post-war governance unclear

The next phase of Trump’s 20-point framework envisions the creation of an international oversight body led by the U.S. and including former British Prime Minister Tony Blair to help manage Gaza’s post-war transition. The body would coordinate reconstruction, security, and humanitarian operations during a two-year interim period.

But Hamas has rejected any foreign administration, saying it would only accept a Palestinian technocratic government under the supervision of the Palestinian Authority and backed by Arab and Muslim countries.

“We will not accept foreign rule or trusteeship over Gaza,” a Hamas political official told Al Arabiya English. “Gaza’s future must be decided by Palestinians.”

Arab states insist on path to Palestinian statehood

Several Arab governments that have quietly backed the Trump plan said any long-term settlement must pave the way toward the establishment of an independent Palestinian state.

“Peace will not be sustainable without addressing the core issue — Palestinian sovereignty,” a senior Arab diplomat said. “Any arrangement that ignores this will eventually fail.”

Israeli officials, however, have reiterated that no Palestinian state will be established under Netanyahu’s government. The Israeli leader has repeatedly stated that his priority remains ensuring “complete demilitarization of Gaza” and preventing Hamas or any other armed group from re-emerging.

Economic and regional impact

News of the potential ceasefire triggered a sharp fall in global oil prices, as investors welcomed reduced risk to supply chains amid fears of a wider Middle East escalation. Analysts noted that a sustained truce could ease regional tensions and reopen diplomatic channels between Israel and Arab states that had been strained since the war began.

“This is a significant de-escalation signal,” said an energy strategist in Dubai. “Markets are responding to the likelihood that the most immediate source of instability — the Gaza war — may finally be nearing its end.”

Skepticism remains

Despite the optimism, observers cautioned that previous ceasefire efforts have repeatedly collapsed, often within days of being declared.

“The fact that this deal has been brokered directly through Washington gives it weight,” said a former Israeli intelligence official. “But without guarantees from Egypt and Qatar — and without addressing Hamas’s long-term status — it could unravel quickly.”

Trump and Netanyahu spoke by phone late Wednesday, congratulating each other on what both described as a “historic achievement.” Netanyahu’s office said the Israeli leader had invited Trump to address the Knesset following the official signing ceremony.

For war-weary civilians on both sides, the agreement offers a rare glimmer of hope — though uncertainty lingers over what will follow.

“People in Gaza have lost everything,” said a humanitarian worker in Rafah. “If this ceasefire holds, it will be the first real chance in years for families to rebuild their lives — but peace will need more than a pause in fighting.”

In a joint statement, the foreign ministers of the UAE, Saudi Arabia, Jordan, Indonesia, Pakistan, Turkey, Qatar and Egypt said they supported steps announced by Hamas, including the release of hostages — alive or deceased — and the group’s readiness to transfer administration of Gaza to a transitional Palestinian committee of independent technocrats.

The ministers also endorsed President Trump’s call on Israel to halt its military campaign and begin implementing an exchange agreement linked to the proposal. They described the US leader’s commitment to peace as “an opportunity to achieve a ceasefire and address the critical conditions facing the people of Gaza”.

The ministers urged the launch of immediate negotiations to agree on practical mechanisms for implementing the plan. They stressed the need for unrestricted humanitarian aid deliveries, the prevention of Palestinian displacement, and guarantees for the security of civilians.

The joint statement also called for the return of the Palestinian Authority to Gaza and efforts to unify governance across Gaza and the West Bank.

The ministers underlined that any agreement must include a security mechanism to protect all sides, ensure a full Israeli withdrawal from Gaza, and pave the way for reconstruction. They reiterated support for a “just peace” based on the two-state solution.

The statement marks a rare moment of regional alignment on Gaza’s future, though much depends on whether the proposal gains traction with Israel and key international stakeholders.

Abbas, 88, did not mince words, referring to Hamas fighters as “sons of dogs” and blaming the group for prolonging the ongoing war in Gaza by giving Israel justification for its continued offensive.

“Sons of dogs, release the hostages and block their justifications,” Abbas declared, adding, “Israel’s military campaign has turned into the Israeli genocide that the Gaza Strip is being subjected to.”

While Israel denies accusations of genocide, asserting its military actions target Hamas in self-defense, Abbas’s remarks underscore a dramatic escalation in tensions between Palestinian factions and a notable shift in his public stance toward Hamas.

A Stark Shift in Tone

Though Abbas has often criticized Hamas, Wednesday’s scathing address marked his most direct public attack. The timing coincides with renewed ceasefire efforts led by regional powers including Egypt, which has proposed disarming Hamas as a step toward peace.

Abbas refrained from explicitly condemning Hamas’s October 7 attack on Israel but reiterated his longstanding opposition to violence against civilians and his advocacy for a two-state solution.

“Hamas must end its control over the Gaza Strip, hand over all its affairs to the Palestine Liberation Organization and the legitimate Palestinian National Authority, and refrain from carrying arms,” he said. “It must transform into a political party operating within the framework of international legitimacy.”

Hamas Fires Back

Hamas responded swiftly, rejecting Abbas’s accusations and challenging his legitimacy as Palestinian leader. The group claimed Abbas was shifting blame for Israel’s “crimes” onto the Palestinian people, calling his statements “suspicious and dangerous.”

The bitter rivalry between Fatah—Abbas’s party—and Hamas has long fractured Palestinian politics. Hamas seized control of Gaza in 2007 following a violent power struggle, and repeated reconciliation attempts have failed, despite agreements in Cairo and Beijing involving numerous Palestinian factions.

Internal Rift and International Implications

Abbas accused Hamas of inflicting “severe damage” on the Palestinian cause for independence. “It has provided the occupation with dangerous free services, whether intentionally or unintentionally,” he said. “Hostage-taking gave the criminal occupation one of its most prominent excuses to carry out its conspiracies and crimes in Gaza.”

He renewed his appeal for an international peace conference and the enforcement of existing UN Security Council resolutions, aiming to break the impasse and reignite efforts toward a lasting solution.

As the humanitarian crisis in Gaza worsens and political divisions deepen, Abbas’s sharp rhetoric signals a critical moment in Palestinian politics—and raises new questions about the path forward for both Palestinian governance and the broader conflict.