Tightening Israeli-Egyptian Ties
Four free-trade zones will be created in Egypt as a result of a deal to be signed by Israel, Egypt, and the U.S. on Dec. 14. Under the accord, goods can be exported to the U.S. duty-free as long as 35% of the content results from cooperation between Israeli and Egyptian companies, and 8% is Israeli. Bilateral trade between Egypt and Israel is just $44 million, but officials expect the figure to more than double as a result of the pact. Egypt is also negotiating to export $2.5 billion worth of natural gas to Israel over 15 years. And there has been a political thaw: The two governments recently exchanged prisoners and are talking about reviving Israeli-Palestinian peace talks.
Edited by Rose Brady