West Germany and Egypt are to open negotiations in January on new foreign aid commitments and a rescheduling of Cairo’s debts to Bonn. No fresh aid agreements have been signed with Egypt since it severed diplomatic relations with West Germany in 1965 when Bonn recognized Israel. Bonn and Cairo resumed relations a few months ago. The strong Arab lobby in West German industry hopes the coming negotiations will bring an expansion of trade, which has slackened considerably in the past nine months. The talks were originally scheduled for last Oct. but were called off because of the Munich massacre.
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