Germany pledges backing for Egypt 'transformation'

German Foreign Minister Guido Westerwelle held out the prospect of fresh investment and trade Monday if Egypt continues on the road of democratic progress, ahead of talks with new President Mohamed Morsi.

Westerwelle's two-day visit, billed as the first by a Western foreign minister since last month's watershed presidential election, is a "signal" of commitment by Europe's top economy to Egypt's political "transformation".

"We want to support Egypt and we all know that there are very many companies in Germany who are very much interested in investments in Egypt and they need sustainable development, a stable democracy, and this is my main message," he told reporters after talks with his counterpart Mohammed Kamel Amr.

Westerwelle, who arrived in Cairo amid an escalating power struggle between Morsi and the long-dominant military, called Egypt "the key country for the success of the Arab Spring".

"The people in Egypt... asked for democratic participation but they also asked for economic and social participation and Germany is very well experienced in economic development," he said.

Westerwelle is to meet Morsi, Egypt's first democratically elected civilian president, and Arab League chief Nabil al-Arabi on Tuesday.

Amr said Berlin's support was key.