The United States has notified Egypt that it will reduce its military aid to Cairo beginning in 2026, according to a report published Wednesday by the Qatari-owned Al Araby Al Jadeed news outlet.
The news outlet claims the decision comes in response to Cairo’s opposition to “the displacement of Palestinians from the Gaza Strip to Sinai” against the background of the plan to relocate Gazans, proposed by President Donald Trump.
Egyptian diplomatic sources told the news outlet that Cairo has received official notification from the United States regarding the decision to reduce military aid to the Egyptian army, with the decision set to take effect next year.
The notification did not, however, provide details of the cut, which is expected to be determined later following consultations with Trump Administration officials.
Trump had previously hinted at the possibility of cutting off aid to Egypt and Jordan if the two countries did not agree to accept Gazans fleeing the war zone.
The president noted during his meeting with Jordanian King Abdullah II in Washington this past February that the United States “provides a lot of money to Egypt and Jordan, but I don’t want to threaten that.”
Egypt receives an estimated annual aid package of $2.1 billion from the United States. The package includes $1.3 billion in military aid, while the remainder is directed to economic assistance for the Egyptian government and non-governmental organizations.
Approximately $300 million of the aid is conditioned on Egypt’s compliance with human rights commitments.
Egyptian sources told Al Araby Al Jadeed that the Pentagon had “applied pressure in an attempt to convince them to cooperate with the American plan to displace Palestinians.”
The sources said an unofficial Egyptian delegation recently visited Washington to discuss the decision and clarify the reasons behind Cairo’s refusal to comply with the Trump Plan for Gaza.
“The delegation warned of the danger and consequences of all plans aimed at uprooting Palestinians and transferring them to Egypt or Jordan, as this would threaten the stability of both regimes,” according to the report.
