The White House said President Barack Obama was freeing up the equipment and making other changes to military ties with Washington's long-time ally to support US interests while encouraging Egypt's political reforms.
Obama directed the release of 12 Lockheed Martin F-16 aircraft, 20 Boeing Harpoon missiles, and up to 125 M1A1 Abrams tank kits made by General Dynamics, National Security Council spokesperson Bernadette Meehan said.
This was “in the interest of US national security,” she said.
The decision was announced after a telephone call between Obama and Egyptian President Abdel Fattah al-Sisi in which they also discussed the turmoil that is gripping the region.
Egypt, which has worked with the United States on Middle East peace moves, is emerging from a period of domestic upheaval and is engaged in several regional conflicts, including in neighboring Libya, and fighting ISIS at home.
Sisi is leading an initiative to form a unified Arab military force in the region to confront Iranian-allied rebels in Yemen, and other threats.
The White House said Washington would “modernize” the way it provided military aid to Cairo to focus on counterterrorism, border security, maritime security and Sinai security, where Islamic State militants have been active.
“In this way, we will ensure that US funding is being used to promote shared objectives in the region, including a secure and stable Egypt and the defeat of terrorist organizations,” Meehan said in a statement.
Obama told Sisi he would continue to ask the US Congress for $1.3 billion in military aid for Egypt per year, but said the United States would stop allowing Egypt to buy equipment on credit starting in fiscal year 2018, the White House said.
The deals for the released equipment were paid for long ago, so were not expected to have much impact on the companies.
Egypt has been the second-largest recipient of US foreign aid since its peace treaty with Israel in 1979.
Some restrictions were relaxed last year, but Congress made aid dependent on the US Secretary of State certifying that Egypt was taking certain steps to govern democratically, a delay which angered the Egyptian government.
Source: Reuters
