Egyptian President Hosni Mubarak discussed Wednesday with visiting Palestinian leader Mahmoud Abbas preparations for the situation in the Gaza Strip after Israel completes its withdrawal from the coastal area, an presidential spokesman said.

The talks dealt with a host of issues related to the post- Israeli withdrawal period, Soliman Awad told reporters after the meeting.

According to the spokesman, Mubarak expressed belief that after the Israeli withdrawal, all international and regional parties must cooperate so that the Palestinian economy might flourish and benefit the Palestinian citizens.

President Mubarak warned against turning the Gaza Strip into a large prison for Palestinians and urged the Israelis to take the withdrawal as part of the roadmap peace plan, said Awad.

Israel announced Tuesday it had completed the withdrawal of the Jewish settlers in all the 21 settlements in the Gaza Strip and four smaller ones in the West Bank.

Meanwhile, Israeli forces are expected to leave the Gaza Strip in early October, according to Palestinian officials.

Egypt, a major mediator in the Palestinian-Israeli conflicts, has reached an agreement with Israel over the deployment of some 750 Egyptian border guards along the Egypt-Gaza border after Israel withdrawals its forces from the strip.

The Egyptian guards will take responsibility to help maintain security in the coastal area as both Egypt and Israel do not want to see a power vacuum emerges after the Israeli withdrawal.

Abbas arrived in Cairo late Tuesday on a two-day visit to Egypt. The Palestinian leader is due to meet with Arab League Secretary General Amr Moussa later on Wednesday.

Source: Xinhua