Egypt & Israel: Cold Peace or Enduring Understanding?

On March 26, 1979, under the sponsorship of then US President Jimmy Carter, Egyptian President Anwar Sadat and Israeli Prime Minister Menachem Begin signed a peace treaty (AFP)
On March 26, 1979, under the sponsorship of then US President Jimmy Carter, Egyptian President Anwar Sadat and Israeli Prime Minister Menachem Begin signed a peace treaty (AFP)
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Egypt & Israel: Cold Peace or Enduring Understanding?

On March 26, 1979, under the sponsorship of then US President Jimmy Carter, Egyptian President Anwar Sadat and Israeli Prime Minister Menachem Begin signed a peace treaty (AFP)
On March 26, 1979, under the sponsorship of then US President Jimmy Carter, Egyptian President Anwar Sadat and Israeli Prime Minister Menachem Begin signed a peace treaty (AFP)

When Egyptian soldiers crossed the Suez Canal, and their Syrian counterparts stormed the Golan Heights on the afternoon of October 6, 1973, perhaps they did not foresee the intricate calculations and unprecedented transformations that would follow the military clashes.

Nevertheless, to varying degrees, these events shaped the course of politics and diplomacy, ushering the region into a new era known as the “post-October” period, where Arab destinies intersected with the strategies of major powers.

Around half a century has passed since the “last of the battles” between Egypt and Israel, during which nearly 45 years of peace have prevailed between the two countries.

Some describe this peace as “cold” since it remains limited to official relations without extending to popular normalization.

The “psychological barrier” towards Israel persists, untouched by the years of peace, yet others view the resilience of the Cairo-Tel Aviv peace amid internal transformations and regional storms as a success in its own right.

On March 26, 1979, under the sponsorship of then US President Jimmy Carter, Egyptian President Anwar Sadat and Israeli Prime Minister Menachem Begin signed a peace treaty.

However, bilateral relations between Egypt and Israel continue to remain confined to official aspects, whether in diplomacy or security, while economic relations have taken an upward trajectory over the past two decades.

The US has sought to encourage both countries to enhance cooperation beyond the political stalemate and Egyptian popular resistance to normalization.

This was achieved through the 2004 Qualified Industrial Zones (QIZ) agreement in Egypt, allowing duty-free access to the US market for goods produced with at least 10.5% Israeli inputs.

Despite some business leaders attempting to break the “silence barrier” in relations between the two countries, the volume of trade between them has remained limited, totaling $270 million annually in the past year.

Israel exports goods worth $150 million to Egypt, while importing $115 million, according to official Israeli statistics from the Ministries of Industry and Trade, and Economics.

Updated Egyptian data on this matter remains unavailable.

In addition to “limited” economic cooperation, relations between the two nations have managed to overcome a series of crises, some of which were related to security incidents, such as border skirmishes.

The most recent incident was in June last year and resulted in the deaths of 3 Israeli soldiers and one Egyptian security personnel.

A statement from the Egyptian army stated that they were “pursuing smugglers on the border with Israel.”

This incident was not the first of its kind. In October 1985, the “Ras Burqa” operation occurred, executed by the Egyptian soldier Suleiman Khater, resulting in the deaths of seven Israelis in a border area between the two countries.

In November 2004, Egypt protested the killing of three Egyptian Central Security Forces personnel after an Israeli tank fired a shell across the border between Egypt and the Gaza Strip.

In August 2011, an Israeli airstrike along the Egyptian border south of Rafah led to the deaths of five Egyptian border guards, for which Israel later issued a formal apology.

Relations between the two countries have also endured regional conflicts, including the wars in Lebanon (1982 and 2006), the Palestinian uprisings (1987 and 2000), and repeated Israeli aggressions on the Gaza Strip.

Egypt has managed to utilize its communication with Tel Aviv to halt these aggressions on several occasions, marking Egyptian success on both regional and international fronts.

Despite changes in Egypt’s government system and shifts in Israel’s leadership, relations between the two nations have maintained a degree of stability.

However, this has not succeeded in altering the popular stance in Egypt, which remains opposed to normalization with Israel.

This sentiment reached its peak following the events of January 25, 2011, when enraged protesters entered an annexed apartment of the Israeli embassy, removed the Israeli flag from the top of the building.

Additionally, Egypt terminated a long-term agreement through which it supplied natural gas to Israel after the pipeline crossing the border was subjected to frequent acts of sabotage.

Ahmed Youssef Ahmed, a professor of political science and former dean of the “Arab Research Institute,” attributes the resilience of the peace relationship between Egypt and Israel to the former’s commitment to its international obligations.

He also highlights what he refers to as “political realism,” considering regional and international circumstances.

In statements to Asharq Al-Awsat, Ahmed points out that the relationship between the two parties indeed appears to be a “cold peace.”

According to Ahmed, this peace has remained confined to official frameworks, with the minimum necessary for security and diplomatic arrangements being upheld.

However, it has never transitioned into a “warm peace,” at least not at the popular level.

On the other hand, Ahmed believes that Egyptian popular rejection of normalization with Israel “remains strong” and describes it as a “remarkable stance.”

This reflects the commitment of the Arab regime not to normalize relations until the Palestinian issue is resolved.

Ahmed points out that Egyptian authorities have “never attempted at any stage since signing the peace agreement with Israel to pressure unions and parties to change their positions or attempt to brainwash their citizens into accepting normalization with Israel.”



Reconstruction Studies Begin in Lebanon, Costs Exceed $6 Billion

A man walks past near the rubble of a building in Beirut's southern suburbs, after the ceasefire between Israel and Hezbollah, Lebanon November 29, 2024. REUTERS/Thaier Al-Sudani
A man walks past near the rubble of a building in Beirut's southern suburbs, after the ceasefire between Israel and Hezbollah, Lebanon November 29, 2024. REUTERS/Thaier Al-Sudani
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Reconstruction Studies Begin in Lebanon, Costs Exceed $6 Billion

A man walks past near the rubble of a building in Beirut's southern suburbs, after the ceasefire between Israel and Hezbollah, Lebanon November 29, 2024. REUTERS/Thaier Al-Sudani
A man walks past near the rubble of a building in Beirut's southern suburbs, after the ceasefire between Israel and Hezbollah, Lebanon November 29, 2024. REUTERS/Thaier Al-Sudani

As Lebanese return to their ruined cities and villages after the ceasefire between Hezbollah and Israel, the main question on their minds is: “When will reconstruction begin, and are the funds available, and if so, where will they come from?”

Unlike the aftermath of the 2006 war, which saw funds flow in automatically, the situation now is different.

The international conditions for reconstruction may be tougher, and Lebanon, already struggling with a financial and economic collapse since 2019, will not be able to contribute any funds due to the severity of the recent war.

Former MP Ali Darwish, a close ally of Prime Minister Najib Mikati, said a plan for reconstruction would likely be ready within a week.

The plan will identify the committees to assess damage, the funds for compensation, and whether the South Lebanon Council and Higher Relief Commission will be involved.

Speaking to Asharq Al-Awsat, Darwish explained that the matter is being discussed with international partners, and more details will emerge soon.

He added that the process is unfolding in stages, beginning with the ceasefire, followed by army deployment, and eventually leading to reconstruction.

To reassure its supporters, many of whom have lost their homes and been displaced, Hezbollah promised before the ceasefire that funds were ready for reconstruction.

Sources close to the group say Iran has set aside $5 billion for the effort, with part of it already available to Hezbollah and the rest arriving soon.

Political analyst Dr. Qassem Qassir, familiar with Hezbollah’s operations, said a reconstruction fund would be created, involving Iran, Arab and Islamic countries, international partners, religious leaders, and Lebanese officials.

He added that preparatory work, including committee formations and studies, has already begun.

However, many affected people are hesitant to start rebuilding, wanting to ensure they will be reimbursed.

Some reports suggest that party-affiliated groups advised not making repairs until damage is properly documented by the relevant committees. Citizens were told to keep invoices so that those who can pay upfront will be reimbursed later.

Ahmad M, 40, from Tyre, told Asharq Al-Awsat he began repairing his damaged home, paying extra to speed up the process. The high costs of staying in a Beirut hotel have become unbearable, and he can no longer wait.

Economist Dr. Mahmoud Jebaii says that accurate estimates of reconstruction costs will depend on specialized committees assessing the damage. He estimates the cost of destruction at $6 billion and economic losses at $7 billion, bringing total losses from the 2024 war to around $13 billion, compared to $9 billion in 2006.

Speaking to Asharq Al-Awsat, Jebaii explained that the 2024 destruction is much greater due to wider military operations across the south, Bekaa, and Beirut.

About 110,000 housing units were damaged, with 40,000 to 50,000 completely destroyed and 60,000 severely damaged. Additionally, 30 to 40 front-line villages were entirely destroyed.

Jebaii emphasized that Lebanon must create a clear plan for engaging the Arab and international communities, who prefer reconstruction to be managed through them.

This could involve an international conference followed by the creation of a committee to assess the damage and confirm the figures, after which financial support would be provided.

He added that Lebanon’s political system and ability to implement international decisions will be key to advancing reconstruction.