The Alliance of Egyptian Americans (AEA)
Position on USA Aid to Egypt

I.       Economic Aid:

The Alliance of Egyptian Americans (AEA)
Position on USA Aid to Egypt

I.       Economic Aid:
The Alliance supports an increased economic aid to Egypt, since latest reports indicate that 52% of the Egyptian people live below the poverty line (at or below $2 a day).This dismal profile is a direct result of the Egyptian Government misguided policies over the last 25 years, and therefore, the Alliance wishes to see more American aid directed toward alleviating poverty, delivering health services, and empowering the youth through education and training. In addition to its overall humanitarian nature, these recommended steps will be a counterbalancing measure to potential extremism and violence in the country

II.      Military Aid:
The AEA calls for maintaining the military aid at its current level. The only
caveat to the foregoing is related to the interest generated from deposits created at the beginning of the fiscal year for subsequent disbursement during the proceeding months. Accounting for the underlying amount of interest is currently opaque. Hence, AEA believes that the interest income should be mutually monitored and the resultant amount added to the economic aid portion.

AEA believes that reducing military aid at this juncture may prove to be a destabilizing factor, since Egypt is located in the heart of the most turbulent regions in the world. Despite the seemingly absent threats to the country’s national security, unforeseen developments requiring the use of military power may arise. Furthermore, reducing or stopping the military aid might put pressure on the Egyptian budget deficit which is at the unsustainable level of 10% of GDP.The Egyptian Government will, likely, reallocate some of the funds from the already strained civilian categories toward military spending.
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III.     Future Recommended Action:
In regard to linking the assistance to political reforms, the Alliance calls for a linkage between future USA aid and the appointment of international monitors to all future elections. Therefore, significant violations that may be reported shall trigger an immediate action by Congress, including the potential reduction of the US Assistance Program.

The AEA as well as other concerned observers of the Egyptian political landscape are now convinced that:

• Depriving an Egyptian citizen from casting a vote is a gross violation of human rights.
• The Mubarak regime is not willing to deliver on its promises to introduce meaningful political reforms.
• The Bush Administration has a diminished will to pressure Mubarak due to the Iraqi setbacks.
• Considering Egypt long history of democratic experimentations, the current political environment in Egypt falls short of the minimum level of freedom that is necessary to sustain social peace and stability.