The US is suspending a large part of the $1.3bn
(£810m) in aid it gives to Egypt's military.
The delivery of large-scale military systems as well as
cash assistance to the Egyptian government would be
withheld, said the state department.
It said "credible progress" must be made towards free
and fair elections.
A review was launched in August after a crackdown by
the authorities on supporters of ousted President
Mohammed Morsi left hundreds of people dead.
"We will continue to hold the delivery of certain large-
scale military systems and cash assistance to the
government pending credible progress toward an
inclusive, democratically elected civilian government
through free and fair elections," state department
spokeswoman Jen Psaki said.
Officials said the freeze amounted to hundreds of
millions of dollars in aid.
The US is halting the delivery of Apache helicopters, as
well as Harpoon missiles and tank parts, officials said.
Washington also plans to halt a $260m cash transfer
and a $300m loan guarantee.
The BBC's Kim Ghattas in Washington says the
suspension of aid is more symbolic - a slap on the wrist
- than a painful cut in essential aid.
The announcement had been expected, with deliveries
of military hardware already halted, a military exercise
cancelled, and cash aid in effect on hold since the
summer, our correspondent says.
The US will continue to provide health and education
assistance, and money to help Egypt to ensure security
in the increasingly volatile Sinai peninsula.
The freeze was not intended to be permanent, the state
department added.
Morsi on trial
In a speech to the UN General Assembly last month, US
President Barack Obama criticised Egypt's military-
backed interim government for "decisions inconsistent
with inclusive democracy".
However, the US has held back from labelling President
Morsi's removal from power a coup.
Since the army ousted Mr Morsi in July, Egyptian
authorities have clashed repeatedly with Muslim
Brotherhood supporters.
In the latest round of violence, more than 50 people
were killed in clashes between Morsi supporters,
opponents and security forces in several cities on
Sunday.
Thousands of members of the Muslim Brotherhood
have also been detained in the past two months.
Hundreds of Egyptian activists held a candlelight vigil in
Cairo on Wednesday night to commemorate the deaths
of Christian protestors in clashes with the military two
years ago.
Twenty-five people were killed in what became known
as the Maspero massacre, when soldiers in armoured
personnel carriers ran over Christians demonstrating
outside the state television building in Maspero Square.
Some participants chanted slogans against the military,
but others said the army had saved Christians from the
Muslim Brotherhood.
Mr Morsi is set to go on trial on 4 November on
charges of inciting murder and violence, state media
reported on Wednesday.
The charges relate to the deaths of at least seven people
during clashes between opposition protesters and
Muslim Brotherhood supporters outside a presidential
palace in Cairo last year.
Mr Morsi has been detained at a secret location since
being deposed on 3 July.
After he was toppled, Gulf states including Saudi Arabia
pledged $12bn (£7.5bn) to Egypt's military-backed
government.
Saudi princes have said that if the US cuts aid to
Egypt, they will increase it .
(£810m) in aid it gives to Egypt's military.
The delivery of large-scale military systems as well as
cash assistance to the Egyptian government would be
withheld, said the state department.
It said "credible progress" must be made towards free
and fair elections.
A review was launched in August after a crackdown by
the authorities on supporters of ousted President
Mohammed Morsi left hundreds of people dead.
"We will continue to hold the delivery of certain large-
scale military systems and cash assistance to the
government pending credible progress toward an
inclusive, democratically elected civilian government
through free and fair elections," state department
spokeswoman Jen Psaki said.
Officials said the freeze amounted to hundreds of
millions of dollars in aid.
The US is halting the delivery of Apache helicopters, as
well as Harpoon missiles and tank parts, officials said.
Washington also plans to halt a $260m cash transfer
and a $300m loan guarantee.
The BBC's Kim Ghattas in Washington says the
suspension of aid is more symbolic - a slap on the wrist
- than a painful cut in essential aid.
The announcement had been expected, with deliveries
of military hardware already halted, a military exercise
cancelled, and cash aid in effect on hold since the
summer, our correspondent says.
The US will continue to provide health and education
assistance, and money to help Egypt to ensure security
in the increasingly volatile Sinai peninsula.
The freeze was not intended to be permanent, the state
department added.
Morsi on trial
In a speech to the UN General Assembly last month, US
President Barack Obama criticised Egypt's military-
backed interim government for "decisions inconsistent
with inclusive democracy".
However, the US has held back from labelling President
Morsi's removal from power a coup.
Since the army ousted Mr Morsi in July, Egyptian
authorities have clashed repeatedly with Muslim
Brotherhood supporters.
In the latest round of violence, more than 50 people
were killed in clashes between Morsi supporters,
opponents and security forces in several cities on
Sunday.
Thousands of members of the Muslim Brotherhood
have also been detained in the past two months.
Hundreds of Egyptian activists held a candlelight vigil in
Cairo on Wednesday night to commemorate the deaths
of Christian protestors in clashes with the military two
years ago.
Twenty-five people were killed in what became known
as the Maspero massacre, when soldiers in armoured
personnel carriers ran over Christians demonstrating
outside the state television building in Maspero Square.
Some participants chanted slogans against the military,
but others said the army had saved Christians from the
Muslim Brotherhood.
Mr Morsi is set to go on trial on 4 November on
charges of inciting murder and violence, state media
reported on Wednesday.
The charges relate to the deaths of at least seven people
during clashes between opposition protesters and
Muslim Brotherhood supporters outside a presidential
palace in Cairo last year.
Mr Morsi has been detained at a secret location since
being deposed on 3 July.
After he was toppled, Gulf states including Saudi Arabia
pledged $12bn (£7.5bn) to Egypt's military-backed
government.
Saudi princes have said that if the US cuts aid to
Egypt, they will increase it .
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