US President Barack Obama has canceled his meeting with Egypt’s newly elected President Muhammad Morsi due to take place on the sideline of the annual UN General Assembly session. According to political commentators, the sitting president, currently involved in his re-election race, decided on the move in order to avoid potentially damaging associations in what has become a highly-charged election campaign.
The US has pledged financial support to boost the Egyptian economy, recognizing the country's role in promoting peace and stability in the Middle East.
The coming months will be crucial for Morsi, having promised to reform the country’s current military command structure towards a full civilian democratic system. Fears that the Egyptian military will refuse to transfer national political and military decisions to a civilian government are likely to challenge his powers as president, leading to a possibly volatile transition period.
Early June, Egypt’s Supreme Constitutional Court dissolved the Egyptian Parliament on orders of the Egyptian military, causing anger among Morsi's Muslim Brotherhood.
Following widespread protests by supporters of democratic change, Morsi issued a presidential decree ordering the dissolved parliament to reconvene.
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