Egypt announced Sunday the appointment of veteran diplomat Hazem Khairat as its new ambassador to Israel.

Egypt hasn't had an ambassador in Israel since the 2012 conflict between Israel and the Gaza Strip, known in Israel as Operation Pillar of Defense. Instead, Egypt was represented by a deputy ambassador.

In September 2012 the Egyptian government led by the Muslim Brotherhood and President Mohammed Morsi appointed diplomat Atef Salem as its ambassador in Tel Aviv, replacing Yasser Reda. Salem's appointment was an important signal by Morsi that he doesn't intend to harm Egypt's relations with Israel.

However, when Operation Pillar of Defense began two months later, Egypt recalled Salem for consultations in Cairo in protest of the harm being done to Palestinian civilians in Gaza. At the time, Egypt threatened to completely shut down its Tel Aviv embassy and to boot out Israel's ambassador if Israel expanded its Gaza operation into a significant ground assault.

Though Morsi had a central role in the brokering of the truce that ended the conflict, Ambassador Salem didn't return to Tel Aviv and the embassy was manned by lower ranking diplomats. Salem was later appointed to a different position and the position was left vacant.

Now, Egypt under President Abdel Fattah al-Sissi appointed a new ambassador and intends to send him to Tel Aviv, most likely in September. The new appointment is a testimony to the tightening ties between Israel and Sissi's Egypt. The sides have close security coordination, both with regard to the Gaza Strip and over Jihadi groups in the Sinai Peninsula. The appointment marks a slight thaw on Egypt's behalf of the diplomatic relations, as well.

Prime Minister Benjamin Netanyahu congratulated the new appointment, noting that such steps would bring peace closer.

Sunday also marked the first time since the establishment of formal relations between the two countries that Israel publicly extended its best wishes to Egypt on the occasion of the month of Ramadan.

In a YouTube video, Israel's ambassador to Egypt Haim Koren addressed Egyptians, saying in Arabic: "On my behalf and on behalf of the people of Israel, and in marking of the holy month of Ramadan, we wish the Egyptian people Ramadan Karim," Army Radio reported.