Nasser's neutralist policies during the Cold War led to tense relations with Western powers, which withdrew funding for the planned Aswan Dam. Nasser's retaliatory move to nationalize the Suez Canal Company in 1956 was acclaimed within Egypt and the Arab world. Consequently, Britain, France, and Israel occupied the Sinai Peninsula, but withdrew amid international pressure, boosting Nasser's political standing significantly. From then on, Nasser's popularity in the region grew substantially and calls for pan-Arab unity under his leadership increased, culminating with the formation of the United Arab Republic with Syria (1958–1961).