VZCZCXYZ0007
PP RUEHWEB

DE RUEHEG #2692 2421455
ZNR UUUUU ZZH
P 301455Z AUG 07
FM AMEMBASSY CAIRO
TO RUEHC/SECSTATE WASHDC PRIORITY 6747
INFO RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY
RUEATRS/DEPT OF TREASURY WASHDC PRIORITY

UNCLAS CAIRO 002692 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
USTR FOR E. SAUMS AND J. KALLMER. 
 
E.O. 12958: N/A 
TAGS: ECON EFIN ETRD EG
SUBJECT: INVESTMENT MINISTER ENCOURAGING ON RENEGOTIATING 
BIT 
 
REF: SAUMS-BUZBEE E-MAIL 25 JUNE 2007 
 
Sensitive but Unclassified, not for Internet distribution. 
 
¶1. (SBU) SUMMARY: GOE experts on bilateral investment 
treaties (BIT) are currently analyzing a USG proposal to 
update the US-Egypt BIT and plan to be ready for a technical 
discussion during a visit to Washington in late October, 
Minister of Investment Mahmoud Mohieldin told visiting USTR 
Director for the Middle East Edmund Saums on Aug. 30.  END 
SUMMARY. 
 
¶2.  (SBU) USTR's Edmund Saums, visiting Cairo to discuss a 
range of US-Egyptian trade issues, sought Mohieldin's 
response to a USG non-paper comparing the language in the 
existing treaty to a model BIT updated in 2004.  The current 
treaty was signed in 1986 and entered into force in 1992.  In 
a meeting with Saums, DCM, Treasury Attache and econoff, 
Mohieldin characterized his response to the USG proposal to 
examine the possibility of a new BIT as positive in 
principle, although he cautioned that he was not prepared to 
comment on substantive issues.  Mohieldin made similar 
assurances to the Ambassador in a phone conversation last 
week. 
 
¶3.  (SBU) The Ministry's legal and investment experts are 
evaluating the current treaty and the issues raised in the 
USG non-paper.  The GOE wants to determine, he said, "what's 
in it for us." 
 
¶4.  (SBU) Mohieldin cautioned that private-sector advocates 
would have a role to play in commenting on a draft treaty 
later in the process, but urged that discussions over a BIT 
update remain in government-to-government channels for now. 
 
¶5.  (SBU) Mohieldin will be traveling to Washington in the 
GOE delegation to the IMF-World Bank meetings Oct. 20-22.  He 
suggested that appropriate USG experts meet with GOE experts 
at that time for an initial discussion on their findings 
before the two sides determine whether to move forward. 
 
¶6.  (SBU)  COMMENT: Post views Mohieldin's encouraging 
response as an invitation to strengthen our economic dialogue 
and looks forward to supporting this initiative. 
 
¶6.  (U) Saums has cleared on this cable. 
RICCIARDONE