"Initial results of the investigations conducted by Luxor Public Prosecution asserted that there were no criminal suspicions in the crash and the fall of the tourist hot air balloon in South Luxor yesterday," the state-run MENA news agency said.
The balloon was at 1,000 ft (300 metres) when it caught fire and exploded, plunging onto sugarcane fields west of Luxor yesterday.
Passengers in the balloon included 19 foreign tourists, from Hong Kong, France, Japan and Britain. An Egyptian pilot and another Egyptian were also on board.
A technical committee of the aviation department was also formed to inspect the take-off and fall locations of the balloon and review the licenses of Sky Cruise company which operates the balloon tours.
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The committee has also examined the balloon debris to know the reasons behind it catching of fire and falling of the balloon.
Civil Aviation Minister Wael al-Maadawi also ruled out the possibility of criminal activity behind the crash.
He said yesterday that his ministry agreed to a request by the British authorities to attend the ongoing probe into the hot air balloon crash.
The minister said bodies of victims were carried by a military aircraft to Cairo to hand them over to their embassies.
A committee from the the Civil Aviation Ministry has inspected the air balloon tour operator "Sky Cruise" on February 13, 14 and 15, Maadawi said, adding that the company passed the inspection.
Meanwhile, the Health Ministry in Luxor moved the two wounded persons in the crash to Cairo.
The ministry said it transferred the two wounded from Luxor's International Hospital to Nasir Institute in Cairo because of the seriousness of their conditions.
The governor of Luxor Ezzat Saad had banned all hot-air balloon flights after the tragedy.