Egyptian President Abdel Fattah El Sisi and Israeli Prime Minister Naftali Bennett during their meeting in September. The Egyptian Presidency.
Egyptian President Abdel Fattah El Sisi and Israeli Prime Minister Naftali Bennett during their meeting in September. The Egyptian Presidency.
Egyptian President Abdel Fattah El Sisi and Israeli Prime Minister Naftali Bennett during their meeting in September. The Egyptian Presidency.
Egyptian President Abdel Fattah El Sisi and Israeli Prime Minister Naftali Bennett during their meeting in September. The Egyptian Presidency.

Egypt-Israeli deal on Sinai troop deployment caps years of improved ties, analysts say


Hamza Hendawi
  • English
  • Arabic

Egypt’s deal with Israel to permanently station troops along a troubled stretch of their border in the Sinai Peninsula represents a qualitative leap in relations that caps years of growing security co-operation between the former foes, analysts say.

The deal is an amendment of the security section of the 1979 Egyptian-Israeli peace treaty that regulates the number of troops and type of equipment Egyptian troops can have in the Sinai Peninsula, the main theatre of military operations in the three full-fledged wars the two fought between 1948 and 1973.

Only policemen with light arms are allowed in the section of Sinai bordering Israel and the Gaza strip, according to the treaty.

Egyptian military outposts overlook the Israel-Egypt border as seen from southern Israel. Reuters
Egyptian military outposts overlook the Israel-Egypt border as seen from southern Israel. Reuters

The analysts say the deal was the fruition of years of negotiations between the two nations that were successfully concluded when Egyptian President Abdel Fattah El Sisi held talks with Israeli Prime Minister Naftali Bennett in September, the first public meeting between leaders of the two countries in more than a decade.

The deal, according to the analysts, enshrines what has been the case on the ground for years but on an ad hoc basis. Israel has in recent years allowed Egypt on a case-by-case basis the deployment of troops, armour and air assets to use against militants fighting security forces in Sinai’s north-eastern corner.

The enhanced Egyptian security presence there also resulted in the curtailment of activity by arms and human traffickers as well as denying Egyptian extremists a safe haven in Gaza, which has since 2007 been ruled by the militant Hamas group.

“It is the first time in nearly five decades that we have troops permanently deployed along the border with Israel,” said military analyst Sameer Farag, a retired army general and a veteran of the 1973 Mideast war.

“It was President El Sisi who negotiated this deal; and Israel agreed because its plate is full facing off with Hamas in Gaza and Hezbollah in Lebanon.”

An Egyptian military outpost at the Israel-Egypt border as seen from southern Israel. Reuters
An Egyptian military outpost at the Israel-Egypt border as seen from southern Israel. Reuters

Egypt’s military announced the deal on Monday, saying it was part of efforts to safeguard the country’s national security and secure the border in the “strategic” north-eastern corner of Sinai.

“The joint (Egyptian-Israeli) military committee has succeeded through a co-ordination meeting with the Israeli side to amend the security agreement to increase the number of border guards and their capabilities on the border area at Rafah,” Egypt’s chief military spokesman wrote on his Facebook page on Monday.

“This comes in the context of an international agreement; and reinforces the foundations of security to deal with changes and variables.”

Neither Egypt nor Israel have disclosed the number of troops that would be deployed on the Egyptian side of the border or the military hardware they will have.

A beach In the Red Sea resort of Sharm el-Sheikh, Egypt, a popular destination with Israeli tourists. Reuters.
A beach In the Red Sea resort of Sharm el-Sheikh, Egypt, a popular destination with Israeli tourists. Reuters.

But the deal was widely viewed in Egypt as a milestone in relations with Israel and a diplomatic success.

“The agreement is clearly overdue but remains a monumental event. It’s very rare in international law to see a valid treaty being amended,” said Gehad Auda, a political science professor at Egypt’s Helwan university.

Egypt became the first Arab state to sign a peace treaty with Israel in 1979, but relations between the two nations had for years been branded a “cold peace” because of the scarcity of contact between the two peoples.

However, security co-ordination between the two has grown steadily closer in recent years, mostly in the fight against Islamic militants.

Relations became warmer on other fronts, too.

Israel in September lifted a cap of 1,200 Israelis allowed daily to go through its Taba border crossing into Egypt’s Sinai; its beaches and pristine and marine life-rich Red Sea waters have traditionally attracted Israeli tourists.

Last month, Egypt authorised its national carrier to fly to Israel after decades in which the government used Air Sinai, a subsidiary of EgyptAir, to fly unmarked aircraft between Cairo and Ben Gurion Airport on the outskirts of Tel Aviv.

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Key facilities
  • Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
  • Premier League-standard football pitch
  • 400m Olympic running track
  • NBA-spec basketball court with auditorium
  • 600-seat auditorium
  • Spaces for historical and cultural exploration
  • An elevated football field that doubles as a helipad
  • Specialist robotics and science laboratories
  • AR and VR-enabled learning centres
  • Disruption Lab and Research Centre for developing entrepreneurial skills
Labour dispute

The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.


- Abdullah Ishnaneh, Partner, BSA Law 

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Cast: Priyanka Chopra Jonas, Farhan Akhtar, Zaira Wasim, Rohit Saraf

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%20Ramez%20Gab%20Min%20El%20Akher
%3Cp%3E%3Cstrong%3ECreator%3A%3C%2Fstrong%3E%20Ramez%20Galal%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStarring%3A%3C%2Fstrong%3E%20Ramez%20Galal%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStreaming%20on%3A%20%3C%2Fstrong%3EMBC%20Shahid%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%20%3C%2Fstrong%3E2.5%2F5%3C%2Fp%3E%0A
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  • On sale: 2026
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Brief scores:

QPR 0

Watford 1

Capoue 45' 1

The Cockroach

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Updated: November 12, 2021, 11:09 AM