Egypt–Israel Peace Treaty deployment of additional Egyptian troops. This treaty was received with enormous controversy across the Arab world, where it was condemned and considered a stab in the back. The sense of outrage was particularly strong amongst Palestinians, with the leader of the Palestine Liberation Organization, Yasser Arafat, stating: "Let them sign what they like. False peace will not last". On the other hand, the treaty led both Egyptian president Anwar Sadat and Israeli prime minister Menachem Begin to share the 1978 Nobel Peace Prize for bringing peace between the two states. However, as a result of the treaty, Egypt was suspended
History of the Republic of Egypt 17 September 1978. The accords led to the 26 March 1979, signing of the Egypt–Israel Peace Treaty, by which Egypt regained control of the Sinai in May 1982. Throughout this period, US–Egyptian relations steadily improved, and Egypt became one of America's largest recipients of foreign aid. Sadat's willingness to break ranks by making peace with Israel earned him the enmity of most other Arab states, however. In 1977, Egypt fought a short border war with Libya. Sadat used his immense popularity with the Egyptian people to try to push through vast economic reforms that ended the socialist controls of Nasserism.