THE Israeli Cabinet yesterday approved an extension of a controversial security barrier — dubbed the ‘Iron Curtain’ by Palestinians — that would swing around Jewish settlements deep in the West Bank.

Yasser Arafat remained defiant in his West Bank headquarters today as the Israeli security Cabinet debated expelling him, with one minister suggesting he should be killed.

THE White House called on Palestinian prime minister-designate Ahmed Qurei yesterday to make denouncing and dismantling extremist groups which target Israel the top priority of his new government.

ISRAEL may release a few dozen jailed Islamic militants along with several hundred other Palestinian prisoners, a move that could give a critical boost to lagging peace efforts, it was reported yesterday.

Palestinian gunmen firing across the West Bank line killed a seven-year-old Israeli girl and wounded another, just minutes after the Palestinian prime minister finished a meeting with leaders of militant groups, failing to persuade them to stop attacks.

Israel eased some travel restrictions and the Palestinians predicted a ceasefire soon as they prepared for a crucial three way peace summit this week with US President George Bush.

ISRAEL will not move forward on a US-backed peace plan until Prime Minister Ariel Sharon lays out his objections in an upcoming meeting with US President George Bush, a senior Israeli official said yesterday.

ISRAELI troops stormed a Hamas stronghold yesterday and exchanged fire with dozens of masked gunmen in the most intense battle in Gaza in 31 months of fighting. Twelve Palestinians, including two children and a top bombmaker, were killed.

AN Israeli army team yesterday began evacuating tourists injured in the deadly suicide bombing of an Israeli-owned hotel. Kenyan police said they picked up 12 people for questioning in connection with the blast and a simultaneous attempted attack on an Israeli airliner.

An Israeli army team today began evacuating tourists injured in a deadly suicide bombing at a beach resort in Kenya as investigators sought to determine who was behind twin attacks.

Israeli and Palestinian negotiators moved into what could be the final phase of talks aimed at breaking the month-old deadlock at one of Christianity’s holiest shrines today, as Orthodox Christians marked their Easter holiday.

By Mideast standards it was a pinprick attack, but a car bomb blast in Jerusalem today pushed peace talks even further into the distance.