In a recent article published in Haaretz, political analyst Zvi Barel explored the rising tensions between Egypt and Israel. What began with a statement by a Hamas leader quickly spiralled into sharp Egyptian responses — culminating in Israeli Prime Minister Benjamin Netanyahu hinting at measures that could shake the foundations of the strategic peace agreements between the two states.
Hamas Appeal and Egyptian Anger
Barel opened by quoting senior Hamas official Khalil al-Hayya, who in late July addressed Egyptians directly:
“Brothers in Egypt, I appeal to you because of your political and social standing in the Arab world and internationally, and because we know you feel the pain your brothers in Gaza are enduring. O people of Egypt and your leaders, will you allow your brothers to die of hunger at your border?”
These words, delivered at the peak of Gaza’s suffering, were interpreted in Cairo as a direct accusation against the Egyptian regime for failing to ease the starvation imposed on Gaza.
Egypt’s official response was immediate and fierce. Government spokesmen accused Hamas of hypocrisy and ingratitude, claiming Egypt had done much to aid Palestinians. They even alleged that al-Hayya’s words were meant to stir unrest in Egypt itself and destabilise the regime.
Analysts in Egypt, meanwhile, argued that Hamas’s remarks reflected the immense pressure it faced from Israel’s devastating assaults and its attempt to leverage Egypt’s internal economic struggles. Within weeks, reconciliation talks resumed in Cairo with a Hamas delegation led by al-Hayya, but the bitterness lingered.
Netanyahu’s Provocation
The controversy caught the attention of Netanyahu, who suggested that Israel might explore opening the Rafah crossing — but from the Gaza side, which is under Israeli control. This move was framed as a way of letting Gazans “exit into Egypt.”
Barel argued that if Israel lacked new battlefronts, Netanyahu seemed eager to manufacture one — this time with Egypt itself, as the Camp David Accords mark their 47th anniversary this month. By hinting at measures affecting the peace framework, Netanyahu is deliberately raising the stakes.
Egypt, however, has long been alert to Israeli designs of emptying Gaza into Sinai. This idea, once floated by Donald Trump and now echoed in Israel, remains a live threat in Egyptian eyes. Cairo’s foreign ministry immediately declared that any Israeli step in this direction would cross a red line, amounting to ethnic cleansing and a flagrant violation of international law. Egypt emphasised that it would never become a partner in liquidating the Palestinian cause nor serve as a gateway for Palestinian displacement.
Escalating the Confrontation
Rather than stepping back, Netanyahu poured fuel on the fire by implicitly blaming Egypt’s foreign ministry for “keeping Gazans imprisoned” rather than letting them leave, carefully avoiding a direct mention of President Abdel Fattah el-Sisi.
The escalation did not stop there. Last week, Israel Hayom reported that Netanyahu and Energy Minister Eli Cohen were reconsidering the massive gas deal signed with Egypt, citing supposed Egyptian violations of the peace treaty.
The deal in question was concluded only last month. It binds Israel’s Leviathan field partners — Ratio, NewMed Energy (formerly Delek), and Chevron’s partner Newmont Energy — with Egypt’s Blue Ocean Energy, which purchases gas on Egypt’s behalf. Under the agreement, Egypt committed to buy 130 billion cubic meters of gas worth $35 billion. To facilitate this, both sides agreed to construct an additional pipeline, estimated to cost around $400 million, with completion scheduled for 2028.
Gas, Politics, and Cold Peace
Would Netanyahu really jeopardise such a lucrative contract? Barel doubts it. The deal represents one of Israel’s largest economic achievements with Egypt, laying down the strongest economic foundations of their “cold peace.” Why, then, would Netanyahu risk undermining it?
His justification — that Egypt is violating Camp David by deploying armoured brigades and ground forces in Sinai — appears flimsy. After all, in 2014, Israel itself permitted Cairo to expand its military presence in Sinai, even in demilitarised zones. In 2015, both sides established a military coordination mechanism that allowed “agreed breaches” of Camp David, permitting Egypt to bring in more troops and even use its air force. Reports (denied by Cairo) even suggested Israeli air support in joint operations. More recently, in February, Egyptian drills involving tanks and tunnel manoeuvres drew attention but reflected no shift in military posture.
Israel’s own army confirmed there had been no significant change in Egypt’s deployments. Paradoxically, while Israeli officials occasionally describe Egypt as a potential threat, Cairo simultaneously signed its biggest-ever gas deal with Tel Aviv.
Egypt’s Calculated Balancing
For Egypt, the gas deal is a strategic choice to strengthen its fragile economy, despite public anger over Israel’s ongoing massacres in Gaza. Officials frame the agreement not as something new, but as an “expansion” of the 2019 gas deal — avoiding political backlash by presenting it as continuity rather than a fresh alignment.
At the same time, Cairo is hedging its bets. It has signed exploration and production deals with Qatar, Turkey, and other states. One landmark agreement allows Turkey to station LNG collection vessels off Egyptian shores, channelling gas to Egypt during peak consumption. Yet such alternatives are far more expensive than direct purchases from Israel.
In essence, Egypt is trying to walk a fine line: securing its energy needs while shielding itself from domestic anger and regional accusations of complicity. Netanyahu’s reckless threats, however, risk exposing the fragility of this balancing act — and opening a dangerous new chapter in Egyptian-Israeli relations.
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