Whatever happened to that Tiran + Sanafir breakthrough the Biden administration was hoping for earlier this year? Egypt has apparently thrown a spanner into the works and has recently begun objecting to a number of aspects of the agreement, US and Israeli sources tell Axios.

Rewind: Diplomats have been working to seal an agreement that would see Egypt transfer sovereignty over the Tiran and Sanafir islands to Saudi Arabia. Earlier this year the two sides were said to be close to a deal that would also involve Saudi Arabia and Israel establishing diplomatic ties under a plan put forward by the Biden administration.

But Egypt is reportedly now dragging its heels, and is contesting several aspects of the accord including the installation of cameras on the islands, Israeli officials tell the news outlet. They think Egypt is holding things up because of the Biden administration’s decision to freeze some of its military aid on human rights grounds. Washington has withheld 10% of Egypt’s USD 1.3 bn in annual military aid for the past two years, and Senator Patrick Leahy blocked another USD 75 mn in October.