Egyptian President Hosni Mubarak on Saturday called for an immediate ceasefire in the Palestinian territory of Gaza Strip.

Israel should "stop its military operation immediately," Mubarak said in a speech on the Egyptian state television.

"We call on (the Israeli) leaders to agree to an unconditional ceasefire," said Mubarak, adding that "I call on Israel to withdraw all its troops completely from Gaza."

Egypt has been exerting efforts to mediate between Israel and the Palestinian Islamic Hamas movement to reach a ceasefire in Gaza, where more than 1,200 Palestinians have been killed and some 5,200 others wounded in the past 22 days of Israeli offensive.

Mubarak also said Egypt will never accept foreign observers on its land, noting it's "a red line" that Egypt will not allow to be crossed.

Egypt "is working on securing its borders with Israel and Gaza, " said Mubarak, adding that his country will never accept "the presence of foreign observers on its soil."

Earlier on Saturday, Egyptian Foreign Minister Ahmed Abul Gheit said that his country is not committed to a deal between the United States and Israel, which aims at halting arms smuggling to Gaza Strip controlled by the Islamic Hamas movement.

Egypt "have no commitment towards this memo," Abul Gheit told reporters, referring to the US-Israeli deal signed on Friday to stop weapon smuggling to Gaza.