EU considers suspension of €5bn in aid to Egypt

The EU is to “urgently review” relations with Egypt and will consider suspending aid to the country, as international concern mounts about an escalation in violence following last week’s crackdown on Islamist protesters.

EU officials said the review was likely to recommend a suspension of various forms of aid and loans in total worth €5bn, which had been earmarked to help Egypt in its transition towards democracy following the popular revolution that ended the military regime of Hosni Mubarak two years ago. Suspension would require the backing of EU member states.

Angela Merkel, the German chancellor, said the EU would “completely reappraise the situation regarding Egypt”, describing the situation in Egypt in an interview with ZDF television as “extraordinarily volatile and concerning”. [Read more here]

Source: Financial Times