Egypt didn't create a problem in 1948 - it had and has no obligation to give the refugees citizenship. And they didn't create the refugees either.
Also, in '67, Israel started the war, not Egypt. Egypt precipitated the war, but didn't start it.

An Egyptian act of war, the blocade of the Straits of Tiran, began the 1967 war.

In 1948 Egypt advised ARabs to flee Palestine, promising that they could retun after the Jews were conquered and dreven out. Egypt then invaded.

Egypt lost.

600,000 refugees who had followed Egyptian advice were stranded.

Egypt ruined the chances for a Palestinian State in 1948, and it ruined the lives of hundredso f thousands of people who followed Egyptian advice and were left stateless.

It owes the Palestinan refugees Egyptian citizenship.

Good heavens - how can Egypt NOT have responsibility - huge responsibility - for the Palestinians?

However they are not alone - the entire Arab League created a situation of endless attacks on the Jewish population of the Middle East, including murders, pogroms and expulsions - the war in 1948 of course was started not by Israel, which begged ALL her residents as well as the neighboring states to join in building a better future - but was attacked in the first hours of her existence.

Those attacks have continued, through several wars, intifadas and terrorist attacks, for 60 years.

Millions of victims have been created, Arab and Israeli alike. It's high time responsibility was accepted and real world, non-destructive solutions adapted. This tragedy has gone on way too long and there's just no purpose to it.

Meanwhile the entire planet is struggling to survive - we need ALL our human resources and good will just to try and save our tiny, priceless world.

"Passing through"
Egypt was one of the 5 (five) Arab states that went to war and sent armies to attack the Israeli state.
They lost and have used the "Palestinians", those Arabs the British "imported" into the mandated territory set up to create a Jewish Homeland, as cannon fodder in their hateful fight against the Jews.
Get off your backside and read up on UN resolutions of the 70s forcing Israel to keep those "Palestinians" in miserable conditions in Gaza which Egypt had ruled until 1967.

Sophia,
It's high time responsibility was accepted and real world, non-destructive solutions adapted.

is a cry in the dark especially with world leaders of the quality demonstrated by those of South Africa:
http://supernatural.blogs.com/weblog/2007/11/south-africas-d.html
South Africa’s human rights reputation is in tatters after a series of “sell-out” votes at the UN on issues ranging from rape and gay rights to tyranny.
This week the watchdog UNWatch ranked South Africa last, alongside China, Russia, Pakistan, Algeria and Saudi Arabia, on a human rights list.
Human rights organisations have branded Pretoria “the chief human rights villain”.
SA is accused of shielding Sudan, Zimbabwe, Belarus, Cuba, the Democratic Republic of Congo and Myanmar.

http://supernatural.blogs.com/weblog/human-rights-watch-respon.html
Human Rights Watch replies to criticism from South Africa's Foreign Ministry

So if the politicians of Mandelatopia behave like this what can one expect from the rest?

"Also, in '67, Israel started the war, not Egypt."

Ah, yes: Before the war Egypt asked the UN to withdraw their forces "so that they will not be hurt by the Jews". How kind of them!
All other countries would have been more than happy to have a third party as a shield against an upcoming aggressor.

Face it:
Egypt planned the war, Egypt wanted the war, Egypt got the war.
And eventually: Egypt lost the war.