>> egypt says it's in a state of war after 30 soldiers are killed in northern sinai. i'm lauren taylor. this is al jazeera live from london. also coming up. the prime minister rejects the international bail out deal. >> we don't have to be imprisoned by the past. >> the damage they can do, and i've seen it firsthand is quite

amazing. >> and wreaking havoc on australia's great barrier reef. >> hello, we begin in egypt where the prime minister says his country is in a state of war after 30 soldiers were left dead in north sinai. the area is on lockdown. this is the only picture available on twitter that we think is authentic. and here are two very grainy images that the egyptians released earlier on. >> the killing of a state prosecutor on monday prompted a government backdown.

>> the egyptian cabinet has approved what it says is a tough new law to tackle the violence saying it would provide kick and just deter republicans. we have more on the day's fighting from the north sinai. >> the attacks come a day after egypt buried it's public prosecutor who was killed in that car bomb attack in cairo on monday. president el-sisi has ordered his cab inspect to change laws to deal with terrorism. >> they carried out more attacks and proof to be one of egypt's biggest threats. on the offensive the military

intensified the military campaign carrying out attacks against what it says was terrorist hide outs. killing dozens of fighters and arresting many others. approximately 700 people fighters soldiers, and some civilians have been killed this year alone. the egyptian government has demolished hundreds of houses near the border with the gaza strip and israel. it says it is createing a buffer zone to prevent weapons smuggling. hundreds of people have been transferred out of their homes. but problems are not new. residents complain of government negligence. many are treated a second class citizen and look at suspicion with egyptian authorities. al jazeera. >> we have more about the founder of the british arab network, and author of "egypt,

the elusive arab spring." the tough new laws. what do you think that will entail? >> i think it's going back to crushing opposition. and i think it will will be counterproductive what el-sisi needs to establish rule of law establish governance and confidence in the government itself to respect human rights. i believe we need, and you're thinking--proper road map to get egypt on its feet. to stand as reasonable economy because people don't suffer. it's a very big country and it's not only security grounds.

>> they do not seem to want to move away. making it tougher on these areas and more military response. what do you think will change in the military strategy? in the past, in fighting isil they've had airstrikes. would they consider going as far as that? or would that be beyond the pail to use airstrikes or egypt itself? >> i think they have to establish the attacks first. see how it started. how it can be contained politically before using force. because since the force has failed so far and they have a lot of other things to do. we need parliament. we need accountability and transparency. there are a lot of things that need to be done. it can't be just to run in a dictatorship or military establishment the way it has been. >> how likely it would ever go down the route and engage from local people to fight these

groups whether they're al-qaeda or whoever they might be, is there support from local tribes and local people to fight against the government or that's not an on ability in egypt. >> i think the people in sinai need to feel egyptian. the governor of sinai should be egyptian. so far it's the people from the delta, from cairo who control the key positions in sinai. and i think that it should be changed because sinai people should be empowered as well the rest of the egyptians. it's not just sinai. it's what upper egypt lower egypt, things need to change. they need good governance, and it's on its way forward. >> thank you very much, indeed for coming to talk with us. we appreciate it. thank you.

>> the referendum will for greece urging voters to vote no. they said that athens would accept their bail out offer if some conditions would change. they asked for 20 billion eur loan. and the political effort to against the stand office. here is barnaby phillips. >> this man has a difficult job telling pensioners they have to wait. they're allowed into the bank one by one to collect some money. they've been here for hours. these scenes are not helpful for alexis tsipras but he's telling

greeks their money is safe and he they should vote no. >> now doesn't mean a split division but a return to values. no means strong pressure for an agreement that will give solutions to the debt. >> the greek prime minister has made a new offer with concessions. but it seems that many of europe's most powerful applications application politicians are now giving him the cold shoulder. >> i always kept to what we agreed on. what our rules on. what we agreed on in europe and what the national roles are. if everyone had done the same everyone would not be in a desperate situation. looking for a culprit outside of greece may be helpful in greece, but it has nothing to do with reality. >> while europe leaders bicker, what do tourists think?

tourism is vital to the economy. we saw them trekking up to the acropolis. some oblivious to the crisis. some taking it in their stride. >> nowfor the greeks themselves the situation is much more worrying. they can't escape their country's financial crisis. yet for all the tensions and disagreements in this country the vast majority of greeks have dealt with this situation with great calm and pay patience. >> leila gives legal advice to bankrupt greeks. 128,000 have declared bankruptcy over the past five years. but what can can she possibly tell them now? >> even as lawyers we're not afraid about what will happen next. there is a lot of--there is not

a lot of answers at the moment. we say wait and see. we may have a referendum at the end of the week. maybe things will happen. maybe not. we'll wait and see. >> amidst all this, greeks have to make decisions about the coming future. >> and we expect the natural bank to meet if frankfurt. what can we expect from them and, indeed, the euro group? >> well, lauren, the ecb meet something not from the policy committee. but we understand that they're going to be discussing the possibility of making greek banks give more collateral for the emergency loan. the liquidity deals that they're benefiting from. you'll recall that on sunday they decided to cap the level at

the agreement that was set on friday. the question is if the ecb does that, what effect might that have on the greek lenders? some speculating that it could be terminal for some greek lenders. they couldn't raise additional collateral to keep the loans that they've received from the ecb. that's one element that's been discussed. we understand that it's taking place. it will be taking place at the ecb behind me. the other institution that you referred to, the euro group. the finance ministers they're meeting earlier on today. we understand that it broke up a half hour or so ago. we have yet to receive any communique. and if you recall yesterday the group of finance ministers rejected the initial greek proposals and finance ministers spoke, as did the chancellor angela merkel in debate at the

bundestag where greece was raised, and merkel said there could be no negotiations until the greek people vote on the referendum sunday and that's deliver: but that particular call is something that the french government has previously suggested or perhaps there could be negotiations before a referendum. it shows the level of uncertainty that still permeates around. >> thank you very much, indeed. still ahead on the program. talks inch closer on the final deal of iran's nuclear future. plus... >> a new show of photographs of the life of the audrey hepburn

opens.

water quality, pollution and climate change means that the future is bleak for australia's

and before she had a smart haircut and a significant style and it wasn't long before hollywood beconed.

and ensured her status as a star and the highest paid actress at the time. advanced ticket sales have been brisk and the magic continues. >> age 16-22 and they are all discovering her and it's a generation i'm from who remembers it and she has a generational appeal. >> reporter: despite her fame hepburn was never a diva and never laid on the film set and polite to one and all and focused the same professional in her final role as ambassador for unicef and visited sick and needy children in 20 countries in five years and giving up when she had inoperable colon cancer. she died age 63. more than any other acstress the

world has seen she endures and a figure in a little black dress the wide eyed fashion icon the definitive catherine hepburn, al jazeera london. and plenty more stories for you any time on the website, the address is al jazeera.com. ♪ a new era for relations between the united states and cuba president obama made a historic announcement about reopening embassys and a new offer from greece as it tries to hammer out a deal to repay its debt what the greek government is saying after missing a deadline and the puerto rico government manages to keep the power on but maybe not enough to overcome a financial