From the Summary: "This report provides an overview of Egyptian politics and current issues in U.S.- Egyptian relations. It briefly provides a political history of modern Egypt, an overview of its political institutions, and a discussion of the prospects for democratization in Egypt. U.S.-Egyptian relations are complex and multi-faceted, and this report addresses the following current topics: the Arab-Israeli peace process, Iraq, terrorism, democratization and reform, human rights, trade, and military cooperation. […] Among the current issues in U.S.-Egyptian relations are a shared concern about international terrorism. Egypt can claim some experience with the subject, having defeated domestic Islamist terrorists intent on overthrowing the government. As the war on terror continues, the United States relies on Egypt for intelligence cooperation. Egypt provided valuable support during Operation Enduring Freedom in Afghanistan. Egypt and the United States agree on the importance of the Egyptian- Israeli peace treaty and the need to continue current Arab-Israel peace talks. In support of this process, Egypt trained some Palestinian police and sent 750 Egyptian soldiers to the Egypt-Gaza border in order to prevent weapons smuggling following Israel's 2005 withdrawal from the Gaza Strip. The United States and Egypt disagree over the speed and depth of, but not the need for, some of Egypt's economic reforms. The two governments differ on Egypt's need to introduce democratic reforms, and many U.S. officials argue that Egypt is not moving quickly enough toward full democracy or in improving the human rights situation. Others caution that movement toward democracy carries a risk of establishment of an Islamist government."
CRS Report for Congress, RL33003