Donald Trump’s latest threat to cut US aid to Egypt unless it endorses his controversial plan to relocate Palestinians and hand Gaza over to American control is yet another reminder of why Egypt must move beyond its reliance on American financial assistance. The United States has, for decades, provided Egypt with military and economic aid, but this support has always come with strings attached – many of which compromise Egypt’s sovereignty. Egypt, however, is not the fragile state it was in the late 1970s when American aid first began flowing in large amounts. Today, it has a diversified economy, a growing defense industry, and a robust set of international partnerships. Far from being a lifeline, US aid is now more of a tool of political leverage – one that Egypt can do without. The Nature of US Aid to Egypt Since the 1979 Egypt-Israel Peace Treaty, Washington has been one of Cairo’s biggest financial benefactors. In 2023, Egypt received approximately USD 1.43 billion in US assistance, with USD 1.3 billion allocated to military aid and around USD 130 million directed toward economic development. Egypt is the second largest beneficiary of…
