A US official and informed Israeli source told Axios that the White House is prepared to mediate a summit between Egyptian President Abdel Fattah al-Sisi and Israeli Prime Minister Benjamin Netanyahu, who have not spoken since before the war on Gaza.
US officials say Netanyahu must first agree to a strategic gas deal with Egypt and take other steps to entice Sisi to meet, while the Egyptian president has expressed coolness toward the idea.
The US is trying to improve relations between Israel and Arab states through economic diplomacy.
The American official told Axios: “This is a great opportunity for Israel. Selling gas to Egypt will create interdependence between the countries, bring them closer together, create a warmer peace, and prevent war.”
The US is considering similar initiatives focused on economic incentives regarding technology and energy between Israel and Arab states such as Lebanon, Syria, and Saudi Arabia.
This is aimed at ending Israel’s diplomatic isolation, establishing a new model for Israel’s dealings with the Arab world, and putting the Abraham Accords back on track.
US officials hope to achieve this in parallel with their efforts to solidify the ceasefire in Gaza and advance the peace process.
Israel needs to show what it has to offer
In recent talks, US President Donald Trump’s advisor and son-in-law, Jared Kushner, told Netanyahu that after the war, Israel needs to demonstrate to the countries in the region that it has more to offer than just a negative agenda.
Kushner emphasized that the countries in the region do not just want to talk about Iran, but rather to explore business opportunities. He added that if Israel wants to integrate into the region, it must return to the language of dialogue.
Trump’s advisor explained to Netanyahu that Israel needs to bolster its economic diplomacy and involve the private sector in the peace process.
Kushner suggested to begin with Egypt, which played a key role in reaching the Gaza peace agreement and led the efforts that have so far secured the return of 27 of the 28 deceased Israeli hostages held in Gaza.
The US official said, “The Egyptians have shown a genuine commitment to helping Gaza.”
An Israeli source said, “There haven’t been any significant strategic-level contacts between the two countries in the past two years.”
Netanyahu had previously declined an invitation from Trump to attend Gaza peace summit held in Sharm el-Sheikh, Egypt in October.
According to sources, US officials told Netanyahu that he needed to have something to offer the Egyptians in order to hold such a summit.
One possibility is approving a multi-billion dollar natural gas deal that would provide an estimated 25 percent of Egypt’s electricity supply. The US company Chevron is a partner in the gas field that is central to this deal.
US officials told Netanyahu that he needed to approve the gas deal and prepare other economic proposals in order to meet with Sisi.
An Israeli source and US official said that Netanyahu recently formed a team that is quietly working to prepare tangible economic outcomes for the potential summit with Sisi.
