CAIRO - Prime Minister Dr Mahathir Mohamad and Egyptian President Hosni Mubarak yesterday held discussions o­n the showdown over Iraq and the Palestinian-Israeli conflict, Egyptian Information Minister Safwat al-Sherif said.

The two leaders discussed the "Iraqi crisis and its repercussions for the region in general as well as its impact o­n the world and Middle East economies," Sherif was quoted as saying by Egypt's state-run MENA news agency.

They "stressed the need to respect international resolutions, by both Iraq and the international community, in order to avoid a strike against this country," Sherif said.

Mahathir, who made no comments to the press after the talks, warned Monday that a war against Iraq would provoke Muslim rage and would broaden the ranks of terrorists.

Student increase

The two also discussed "the situation in the Middle East and the continuation of attacks against the Palestinian people," and stressed "there was no way out but to return to the negotiating table," Sherif said.

Mahathir invited Mubarak to attend the summit of non-aligned countries scheduled for late February in Kuala Lumpur.

The Malaysian prime minister, who arrived here Tuesday heading a delegation of several ministers, also met with his Egyptian counterpart, Atef Ebeid.

Egyptian Foreign Minister Ahmed Maher said in a statement to the press the two men raised "the experiences of Egypt and Malaysia in the field of economic reform, investment and industrialization.

"Both countries agreed to exchange visits of experts to reinforce cooperation in these fields, to increase their trade and encourage Malaysian investment in Egypt," he said.

They also agreed to increase the number of Malaysian students in the prestigious Islamic university of Al-Azhar, who currently number 5,000, MENA reported.

The Malaysian premier was to meet later with the Sheikh of Al Azhar, Mohamed Sayed Tantawi. - AFP