The game was scheduled to be played in Qatar on March 31st. The US-Israeli strikes on Iran have affected countries throughout the Gulf, disrupting travel in some of the world's busiest transit hubs and forcing several sporting events to be cancelled due to safety concerns.
Egyptian media reported that the game could be moved to Spain, but the first source, who spoke on condition of anonymity, told Reuters that it could not take place there for "organisational reasons".
"Some of the Egyptian players did not have visas to enter Spain or Europe, and there was no time to apply due to the upcoming holidays," the second source added.
"The two federations also failed to reach an agreement on other details. Qatar had previously covered all costs, but the situation was different this time."
Egypt will face Saudi Arabia in Jeddah on March 27th rather than in Qatar. European champions Spain will face Serbia on the same date following the cancellation of the 'Finalissima' match against Copa America winners Argentina in Doha's Lusail Stadium.
Seven-time African champions Egypt will face Belgium, New Zealand and Iran in Group G at the World Cup later this year.
Spain will take on Cape Verde, Saudi Arabia and Uruguay in Group H.