Palestinian PM loses power struggle with Arafat

Palestinian prime minister Ahmed Qureia announced the formation of a Cabinet today, backing down from a bitter confrontation with Yasser Arafat and leaving the veteran Palestinian leader in firm control of the security forces.

Qureia’s defeat in his power struggle with Arafat left him severely weakened and threatened to complicate efforts to restart talks with Israel and begin implementing the US-backed “road map” peace plan.