GEORGETOWN, Guyana (CMC) – The 15-member Caribbean Community (Caricom) Friday said it welcomes “with cautious optimism” the agreement reached on the initial phase of a peace plan for Gaza.

“We view this development as a critical step toward alleviating the immense suffering of the Palestinian people, and the safe return of the Israeli hostages,” Caricom said in a statement.

Israel declared a ceasefire and started pulling back troops in Gaza on Friday, as thousands of displaced Palestinians began to trek back to their wrecked homes.

The Israeli army said its troops had ceased fire at noon (0900 GMT) “in preparation for the ceasefire agreement and the return of hostages”.

Three hours later, the United States (US) Pentagon confirmed Israel had completed the first phase of a pullback laid out in US President Donald Trump’s peace plan.

Under the ceasefire deal, Hamas will hand over 47 hostages, living and dead,  still held from the 251 abducted during the attack two years ago. The remains of one more hostage, held in Gaza since 2014, are also expected to be returned.

In its statement welcoming the agreement, Caricom said that it considers “the stipulated terms—including a sustained pause in hostilities, the withdrawal of military forces, the reciprocal release of hostages and prisoners, and the guarantee of immediate and safe humanitarian access—to be constructive and fundamental.

”Caricom emphatically calls upon all signatories to honour these commitments in full and to ensure this first phase serves as a foundation for a permanent and unconditional ceasefire. We reiterate that a just and lasting peace, in accordance with international law, can only be achieved through a negotiated Two-State Solution, which upholds the legitimate aspirations for security and dignity of both nations,” the regional  grouping said.