Egypt's PM seeks end to divisions

Egypt's interim prime ministerappealed on Saturday for an end to the nation's divisionsfollowing the overthrow of Islamist President Mohamed Mursi andsaid tough measures might be needed to revive the economy.

Appearing relaxed and confident on state television, Hazemel-Beblawi, an international liberal economist, called fordialogue between political parties, adding that security had tobe restored to Egypt's streets after weeks of mass protests.

"Egypt is more important to the world than we think anddeserves more from us. The coming stage needs more harmony andreconciliation," Beblawi said in the lengthy interview.

Mursi's Muslim Brotherhood has branded the ousting of thepresident as a military coup and has said it will not enter intoany talks with its opponents until he is restored to power,staging a round-the-clock vigil in Cairo to push their demand.

"There can be no dialogue when the gun barrels are pointingtowards the anti-coup protesters," Brotherhood spokesman GehadEl-Haddad said, dismissing Beblawi's appeal.

The powerful armed forces, who have held Mursi in anundisclosed location since his July 3 downfall, have rejectedcalls for his reinstatement.

Instead, they have appointed a new, interim government,devoid of any Islamists parties. Sworn into office just fourdays ago, it is tasked with tackling the economy and preparingthe way for swift elections.

Egypt's new president issued a decree on Saturday forexperts to start work amending the constitution - a first steptowards holding a new ballot in a country still struggling tocome to terms with the toppling of Hosni Mubarak after theuprising in 2011.

A committee of 10 legal and constitutional experts will meeton Sunday and has a month to come up with proposals to give to abroader-based body, which will have a further 60 days to delivera final draft to be voted on in a national referendum.

Medicine

Beblawi said his cabinet was building "the base for what isto come", adding that he had instructed his ministers to explainclearly the many problems besieging the Arab world's mostpopulous state. "You can not ask a patient to take medicine,without explaining to him why he needs it for," he said.

Asked if austerity measures might be imposed, he said: "Itcould happen." He did not elaborate further.

Among the many accusations levelled against Mursi by hiscritics was mismanagement of the economy. The budget deficit hassoared to about $3.2 billion a month and foreign reserves aremore than 50 percent below their December 2010 levels.

"We are entering a stage similar to that of a war, to stopthe bloodshed, restore economic activity and return security tothe streets," Beblawi said.

More than 100 people have died in violence since Mursi'sremoval, most of them Muslim Brotherhood supporters killed instreet clashes or shot in confrontations with security forces.

In a sign that the new Egyptian administration has beenembraced by many of its neighbours, Jordan's King Abdullah paidan unannounced visit to Cairo on Saturday - the first by an Arableader since Mursi's ousting.

Egyptian Foreign Minister Nabil Fahmy made clear thegovernment planned to play an assertive role in regional affairsdespite the unresolved domestic turmoil.

"I seek to activate Egypt's international role, especiallyon issues related to national security and regain Egypt's Araband regional status," he told reporters.

Signaling a return to cooler relations between Egypt andIran after an attempt at rapprochement under Mursi, Egyptiansecurity forces on Saturday raided the Cairo office of theIranian Al Alam Arabic satellite channel.

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