While Egypt experienced difficulties in servicing of its debts, the European creditors would not allow the country time. In 1875, Ismail shelved payment of interest on loans which forced European creditors, Britain and France, to appoint two people to represent their interests through negotiating new agreements. Egypt continued to service the debts faithfully to an extent that 80% of the country's revenue went to servicing of national debt. The numerous difficulties for Egypt to service the national debt contributed to increased European intervention and subsequent occupation. As European creditors used this as a means of interfering with Egypt's affairs, the Egyptian government was angered, which resulted in more trouble with the European nations and the eventual British invasion of Egypt.
In conclusion, Egypt's bankruptcy and occupation is attributed to various factors, especially British imperialism in the 19th Century. The other factors that contributed to this incident include...
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