Trump administration considered relocating 1 million Palestinians to Libya: Sources

Trump administration is reportedly developing a controversial plan to permanently relocate up to one million Palestinians from the Gaza Strip to Libya, according to a report published on NBC News on May 16, 2025.

Citing five sources with knowledge of the matter, including two individuals with direct knowledge and a former US official, the report indicates that the proposal is under serious consideration, with discussions already held with Libyan leadership.

The plan, which has not reached a final agreement, would involve the US releasing billions of dollars in Libyan funds frozen over a decade ago in exchange for Libya’s agreement to resettle the Palestinians.

'Israel' has been informed of the administration’s discussions, the same sources told NBC News. However, a US government spokesperson denied the claims, stating, “These reports are untrue. The situation on the ground is untenable for such a plan. Such a plan was not discussed and makes no sense.”

The proposal comes amid escalating 'Israeli' military operations in Gaza, including the recently launched “Gideon’s Chariots” campaign byt the Israeli Occupation, which aims to occupy parts of the Gaza Strip and dismantle Hamas’s infrastructure.

Libya, plagued by instability since the 2011 civil war that toppled Muammar Gaddafi, faces significant challenges in accommodating its own population, let alone a million additional refugees. The country is divided between two rival governments—one in the west led by Abdul Hamid Dbeibah and another in the east under Khalifa Haftar—locked in violent conflict.

Basem Naim, a senior Hamas official, told NBC News that the group was unaware of any discussions regarding the relocation and condemned the idea. “Palestinians are exclusively the only party who have the right to decide for the Palestinians, including Gaza and Gazans, what to do and what not to do,” Naim said, emphasizing Palestinian attachment to their homeland.

The Trump administration’s proposal has drawn criticism from Palestinian leaders and regional allies. Previous suggestions by President Trump to relocate Gaza’s population to Egypt or Jordan were rejected by both nations. 

Neither the 'Israeli' government nor Libya’s rival factions responded to NBC News’ requests for comment. The State Department and National Security Council also declined to comment before the report’s publication.