Israel-Palestinian relations face 'dangerous deterioration'

The top UN Mideast envoy said yesterday that the world is witnessing a potentially dangerous deterioration of the Israeli-Palestinian conflict with an increase in violence and a growing Palestinian fiscal crisis that could lead to soaring poverty.

Alvaro de Soto said the dispute between the new Hamas-run Palestinian government which refuses to recognise Israel and President Mahmoud Abbas whose Fatah Party recognises the Jewish state escalated to a point over the weekend where Hamas accused Fatah of a “plot” to overthrow the government and Fatah accused Hamas supporters of inciting civil war.