Debt waived

The German government announced Friday it would waive 240 million euros ($340 million) in debt owed to it by Egypt.

Details of the cancellation were released following a meeting between German Foreign Minister Guido Westerwelle and his Egyptian counterpart, Mohammed Amr.

Speaking to reporters, Westerwelle praised progress towards democracy in Egypt as "admirable," adding that Germany would do what it could to ensure that "from the Arab Spring there comes a summer."

An equal sum to the amount waived is to be invested in development projects as part of an agreement reached between the two countries.

Westerwelle stressed the importance of Egypt rebuilding its economy. He added that sums invested in Germany by the fallen Egyptian elite would be investigated and, if deemed to have been illegal, returned to Cairo.

Call for investment, tourism

For his part, Amr called for further German investment in his country and said he was hopeful that the country's tourist industry could be revitalized.

It was noted that visitor numbers had already begun to pick up over the months that followed the toppling of former President Hosni Mubarak in February.

The Egyptian foreign minister added he was confident that the interim ruling military council would hand over power to a civilian government following elections later this year.

In addition to the debt cancellation, Germany is set to invest an extra 150 million euros in building of democratic structures in Egypt.

Author: Richard Connor (dpa, dapd)
Editor: Martin Kuebler