21 JANUARY 1882, Page 2

The " crisis" in Egypt has continued all the week.

In reality, it is a struggle between the Control, backed by the Western Powers, and the Nationalist Party, supported by the Sultan, and at a distance by Germany and Austria. In form, however, it is a contest between the Controllers and the Assembly of Notables, with the Khedive as umpire. The Notables claim the right of regulating the Budget, and the Controllers, fore- seeing that this right would be fatal to European ascend- ancy, declare that this claim must not be conceded. The Notables submitted their scheme to the Prime Minister on Wednesday, and no formal decision has yet been given. It is believed that Cherif Pasha will reject the scheme, but this depends in part upon the Army. If the Army supports the Notables, Cherif will resign, and Arabi Bey will then be virtually master of Egypt, and the Treasury will be at his mercy. In this event, England and France will be compelled to decide at once, and clearly, whether they will withdraw the Controllers and cease from interference, or whether they will insist that the Khedive shall control his Army. In the first case, the Protectorate is at an end ; in the second, they must afford the Khedive direct military support. The situation can scarcely be prolonged many days.