NATIONAL INTELLIGENCE DAILY TUESDAY 25 MARCH 1980

Created: 3/25/1980

OCR scan of the original document, errors are possible

EGYPT: Reaction to Shah'a Arrival

The arrival of the Shah of Iran in Egypt eo far hae produced no significant daneetic reaction but couldocue for more effective attacks on President Sadat by Islamic and leftiet groups.

I Egyptiangroups have been agitated lor months overalleged corruption in government, andof Sadat's foreign policies. The exchangewith Israel in late February apparentlya serious demonatrationniveraity aouthbut the oppoaltlon so far haa failed tochallenges to the government,

Egyptians of varied politicalthe officially sanctioned 'tame" opposition--haveSadat's past offers of asylum to the Shah. Many Egyptian fundamentalists see the Shah as anti-Islamic, and opposition groups on both the left and right view him as corrupt and as an agent of "Westernven moderate Egyptians have questioned the wisdom of courting opposition at home and throughout tha Middle East by providing him refuge.

post Egyptians view the

Shan's admittanceumanitarian gesture, but some Egyptians and other Arabs presumably believe that Sadat acted on behalf of tho US. The Shah'a presenco, moreover, will reinforce Egypt's isolation from an Arab worldsensitive to fundamentaliet Islamic concerns.

The chief near-term danger ia that extremiat fringe groupa might attempt terrorist operations against the Shah, Sadat, or other Egyptian officials. Over the longer term, the Shah'a presence mayatalyet for Egypt's diverge opposition groups.

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