CAIRO [MENL] -- Egypt has been mulling an offer by France for the sale of a range of military platforms and defense equipment.

Industry sources said France has offered to help Egypt bolster its navy with systems that have so far been denied by the United States, Cairo's leading military supplier. The sources said France has offered generous repayment terms for the sale of aircraft, naval and armored systems to Egypt's military.

"France sees Egypt as the key to plans to enter the Middle East market," an industry source said.

On July 1, Egypt and France signed a military cooperation accord that could pave the way for the sale of equipment and technology to Cairo. The military and technical cooperation agreement was signed by Egyptian Defense Minister Hussein Tantawi and his French counterpart, Michele Alliot-Marie. Ms. Alliot was visiting Cairo for cooperation talks.