Egypt

Egypt continues to tread a fine line between maintaining its relations with Israel and positioning itself in line with the views of the population (which are broadly anti-Israel). We think that moves over recent months have shown that the government remains friendly to Israel (and, more pragmatically, to the cause of eliminating the threat posed by Hamas in Gaza). However, this has not earned it much in the way of rewards from its neighbour, with incoming Israeli Foreign Minister Avigdor Lieberman seemingly unrepentant for comments made last year, leading to tensions between Egypt and the new Netanyahu administration.

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