Egypt Pursues Western Support for Aswan Dam
Gamal Abdel Nasser sought external loans and grants for the planned High Dam, a centerpiece of Egyptian irrigation and development policy.
President of Egypt
Gamal Abdel Nasser sought external loans and grants for the planned High Dam, a centerpiece of Egyptian irrigation and development policy.
Gamal Abdel Nasser faced difficult choices over the terms required by prospective Western lenders and Egypt's desire for economic autonomy.
Egyptian officials pursued international financing of the High Dam while asserting that the project was vital to national development.
Nasser's administration viewed control of Aswan financing as part of its wider effort to secure independent Egyptian development choices.
Egypt still sought the promised funding framework while diplomatic relations with major Western governments worsened.
Gamal Abdel Nasser's government faced the withdrawal of Western support for the Aswan High Dam, a development that shaped the political setting of canal nationalization.
The withdrawal of Western support left the Egyptian president needing an alternative means of financing his major development project.
Egypt's government looked to the revenue of the Suez Canal Company as a possible source of funding after the collapse of Western dam assistance.
Gamal Abdel Nasser announced during a public speech in Alexandria that the Suez Canal Company would be nationalized by presidential decree.
Gamal Abdel Nasser's nationalization decree required company employees to continue their duties unless authorized to leave by the new administration.
Gamal Abdel Nasser announced the nationalization of the Suez Canal Company, prompting Britain and France to seek talks with other canal users.
Gamal Abdel Nasser presented canal receipts as a potential source of financing for the Aswan High Dam after outside backing collapsed.
Gamal Abdel Nasser's decree restricted dealings in company funds and assets while the government established control over its property.
Gamal Abdel Nasser's decree provided for an independent Egyptian agency attached to the Ministry of Commerce to run the canal.
Gamal Abdel Nasser dissolved the company's previous governing organizations as Egypt asserted direct authority over the waterway's administration.
Gamal Abdel Nasser nationalized the Suez Canal Company and linked expected revenues to the financing of the Aswan High Dam.
Gamal Abdel Nasser transferred ownership of the canal company to Egypt but initially continued allowing ships to pass through the waterway.
Gamal Abdel Nasser's decree transferred the Suez Canal Company's assets, rights, and obligations into Egyptian state ownership.
Gamal Abdel Nasser specified compensation for shareholders using the previous day's Paris stock market quotations as the valuation basis.
Gamal Abdel Nasser's new administration sought to keep vessels moving through the canal after the takeover to demonstrate operational continuity.
Gamal Abdel Nasser defended the takeover as an exercise of Egyptian sovereignty rather than a decision to close international navigation.
Gamal Abdel Nasser's administration maintained that Egypt could manage canal traffic while respecting the international waterway's established obligations.
Gamal Abdel Nasser's canal authority had to retain skilled personnel and maintain safe transit as the ownership dispute intensified.
Gamal Abdel Nasser opposed proposals that would transfer effective control of the canal from the Egyptian government to an outside body.
Nasser portrayed the ability to finance the High Dam without Western conditions as part of Egypt's struggle for economic sovereignty.
Gamal Abdel Nasser agreed to receive the five-nation delegation, allowing direct discussion of the proposal endorsed at London.
Gamal Abdel Nasser continued to insist that canal nationalization was irreversible while foreign governments debated alternative arrangements.
Gamal Abdel Nasser received the committee chaired by Robert Menzies and heard the proposal supported by eighteen London Conference governments.
Gamal Abdel Nasser resisted an arrangement that would transfer effective operational authority over the canal to an international body.
Gamal Abdel Nasser rejected the proposal advanced by the five-nation committee because it would compromise Egypt's control of the canal.
Egyptian authorities kept canal traffic operating after the withdrawal of many foreign pilots, strengthening claims of operational competence.
Britain and France delivered an ultimatum on 30 October demanding that Egypt and Israel withdraw from the canal and allow foreign forces to occupy key points.
Nasser rejected the ultimatum, refusing to accept British and French military positions in Egyptian territory under the stated pretext of protecting shipping.
Gamal Abdel Nasser's government refused the ultimatum because accepting Anglo French occupation of canal positions would violate Egyptian sovereignty.
Gamal Abdel Nasser's government sought international condemnation of the air offensive launched after Egypt rejected the ultimatum.
British and French vetoes prevented the Security Council from adopting an immediate resolution demanding withdrawal, pushing the crisis into the General Assembly.
Anglo French air attacks and Egyptian defensive measures turned the canal zone into a combat area and threatened ordinary navigation.
Egyptian authorities obstructed the Suez Canal during the invasion, leaving it closed to through shipping while the military crisis continued.
United Nations peacekeepers investigated and reported incidents along the Port Said ceasefire lines in cooperation with Egyptian officials.
Nasser insisted that a ceasefire alone was insufficient and called for the complete departure of British, French and Israeli forces.
United Nations troops monitored the ceasefire around Port Said and the canal, reporting violations and seeking to reduce further clashes.
Egypt negotiated with United Nations officials over the entry of an emergency force, with Egyptian consent central to the proposed deployment.
Egyptian officials cooperated with UNEF personnel on public order and protection of property during the transition from foreign military occupation.
Egyptian forces scuttled vessels in the waterway as a denial measure to prevent invading forces and shipping from using the canal during the fighting.
United Nations troops took positions separating Anglo French and Egyptian forces, helping stabilise the contested Port Said area.
Gamal Abdel Nasser denounced British and French bombing as an attack on Egyptian sovereignty and pledged resistance to the intervention.
Egyptian crews sank vessels in the canal, creating blockages that prevented ordinary commercial transit during the war.
The United Nations General Assembly convened its first emergency special session to address the attacks on Egypt after Security Council action was blocked.
Gamal Abdel Nasser's government supported international action to end the offensive and secure the removal of invading forces.
Egypt welcomed international demands for a halt to hostilities and withdrawal behind armistice lines as the invasion continued.
The United Nations General Assembly called for an immediate ceasefire and withdrawal of foreign forces on 2 November; Egypt supported an end to the invasion.
The General Assembly asked for a plan to establish an emergency international force with the consent of concerned countries, setting the stage for UNEF.
The original United Nations proposal for an emergency force stipulated consent from the countries concerned, giving Egypt a decisive role in its deployment.
British and French airborne forces attacked the Port Said area on 5 November, opening the ground phase of their intervention against Egypt.
Nasser called for national resistance as military defenders and civilians opposed the Anglo French assault at the northern entrance to the canal.
The United Nations created a command structure for its first emergency force, intended to supervise the ceasefire and facilitate withdrawal from Egyptian territory.
The British and French governments accepted a ceasefire on 6 November, bringing their offensive to a halt while occupying the Port Said area.
The end of major Anglo French fighting did not reopen the Suez Canal because sunken ships and wartime damage remained.
Gamal Abdel Nasser's government continued to resist the invaders as fighting in and around Port Said caused damage and civilian suffering.
Gamal Abdel Nasser's government reported the human cost of fighting and damage suffered by civilians in the embattled city.
The military conflict and canal closure compounded the financial uncertainty surrounding Egypt's High Dam plans after Western funding was withdrawn.
Gamal Abdel Nasser's government insisted that the presence of United Nations soldiers must respect Egyptian sovereignty and the terms of consent.
Gamal Abdel Nasser insisted that ending the fighting was insufficient without removing foreign forces occupying Egyptian territory.
Egypt accepted the cessation of hostilities following international intervention while continuing to demand withdrawal of foreign forces from its territory.
The United Nations approved guiding principles for UNEF while Egypt discussed how the force could supervise a ceasefire without infringing sovereignty.
UNEF began operating from a temporary headquarters in Cairo on 12 November to coordinate ceasefire supervision and preparations for deployment.
Egyptian consent allowed advance elements of the United Nations Emergency Force to reach Egyptian territory after the ceasefire.
The first UNEF advance elements reached the Abu Suweir area on 15 November, beginning the physical deployment of United Nations peacekeepers in Egypt.
Nasser discussed the status and operation of UNEF with United Nations Secretary General Dag Hammarskjold during meetings in Cairo in mid November.
The Egyptian government and United Nations officials clarified the principles governing the emergency force's activities on Egyptian soil.
Egypt and the United Nations agreed on principles governing UNEF’s presence and cooperation with Egyptian authorities, preserving the requirement of Egyptian consent.
The first United Nations units entered Port Said on 21 November, beginning a gradual replacement of invading forces in parts of the city.
The General Assembly renewed its demand for rapid withdrawal on 24 November while British and French troops still held positions in Egypt.
Gamal Abdel Nasser's government pressed for an end to all British and French military presence in the city.
UNEF personnel crossed to the east bank of the Suez Canal on 30 November as peacekeeping operations expanded beyond the western side.
United Nations forces expanded their deployment east of the canal, creating separation between Egyptian and Israeli military positions.
The canal remained closed to navigation at the end of 1956 because of sunken vessels and other obstructions; full reopening came in 1957.
Under United Nations pressure, Britain and France arranged an accelerated evacuation of the Port Said area while UNEF assumed local security functions.
Gaza remained under Israeli military occupation at the end of 1956, despite United Nations demands for withdrawal behind the established armistice lines.
Although British and French forces departed in December, Israeli troops still occupied Egyptian territory in Sinai; the complete withdrawal took place in 1957.
Egyptian civilian authorities coordinated with United Nations troops as responsibility for public order shifted away from departing British and French soldiers.
As British and French forces prepared to leave, United Nations troops expanded their duties around Port Said to supervise withdrawal arrangements.
UNEF personnel helped protect vulnerable public installations during the transition from Anglo French occupation to Egyptian civil administration.
Gamal Abdel Nasser's government maintained its sovereign management claim while negotiations addressed the removal of wrecks.
United Nations forces took positions between Israeli and Egyptian troops in early December as efforts to stabilise the ceasefire moved eastward.
Egyptian canal administrators planned a return to normal operations while international teams negotiated the removal of sunk vessels.
After the Anglo French withdrawal, Egyptian authorities resumed fuller civil administration in Port Said while UNEF temporarily supported stability.
The remaining British and French troops left Port Said by 22 December, ending their occupation of the Egyptian canal city.
After the departure of British and French troops, Egypt restored direct civil authority over Port Said while UN personnel remained nearby.
Egyptian authorities worked with international salvage personnel to remove blockages that had halted traffic since the invasion.
Israel's evacuation of Egyptian territory helped reduce military tension while canal clearance operations moved toward completion.
The canal reopens after clearance operations, with Egypt retaining control of the waterway.
Egypt resumed regular traffic through the canal after the removal of wartime obstructions and the withdrawal of invading forces.
Egypt secured a new financing route through Soviet assistance for the High Dam, replacing the failed Western funding scheme of 1956.