Palestinian 'unity' talks break down

The rival Hamas and Fatah parties have frozen talks on forming a Palestinian unity government, Fatah officials said – a new setback in efforts to form a more moderate coalition acceptable to the West.

The deep differences raised questions about the ability of the sides to reach a deal that could end months of painful economic sanctions that have bankrupted the Palestinian government and caused widespread hardship in the West Bank and Gaza Strip.

The sudden announcement of a breakdown yesterday came after months of negotiations that appeared to be heading toward formation of a Cabinet of independent experts to replace the Hamas-led body.

Palestinian president Mahmoud Abbas of Fatah met late on Sunday with prime minister Ismail Haniyeh of the ruling Islamic Hamas in Gaza, and officials said the meeting was cordial.

However, Abbas aide Nabil Amr said yesterday the talks had reached a standstill.

“We would say talks are suspended now,” he told a news conference. “What we have agreed upon is only the first mile over the 1,000-mile road.”

It wasn’t clear whether the suspension was the sign of a real crisis or simply a negotiating tactic by Abbas’s weakened Fatah Party.

Hamas officials denied any serious trouble. “Talks are continuing on the highest levels,” Haniyeh said. However, no further meetings about a unity government were on the schedule.

The two sides earlier agreed on a US-educated academic as candidate for prime minister to replace Haniyeh, and crafted a foundation for a joint government that would leave negotiating with Israel up to Abbas, a moderate, while Hamas would deal with day-to-day issues.

The US and Europe cut off aid to the Palestinian government when Hamas took office in March after sweeping Fatah out of office in a parliamentary election, labelling Hamas a terror group for its history of suicide bombings and other attacks against Israelis.

The West insists that before it would restore aid, the Palestinian government had to recognise Israel, renounce violence and accept past peace accords. Hamas refused – its ideology does not accept the existence of a Jewish state in an Islamic Middle East.

Even if the sides reach agreement, it remains unclear whether the “division of labour” formula, with Abbas handling diplomacy while Hamas sticks to its hard line, would be acceptable to the West.

Hamas political leader Khaled Mashaal held talks overnight in Damascus with Abbas envoy Ahmed Qureia, but the meeting focused on proposals for bringing Hamas into the PLO, a separate issue that has long been under discussion without progress.

Relations with Israel have deteriorated since Hamas took office, especially after Hamas-linked militants captured an Israeli soldier in a cross-border raid last June.

Israel has been carrying out a military offensive in the Gaza Strip since the capture, while Palestinian militants continue to fire homemade rockets into southern Israel, launching at least nine rockets today. No injuries were reported.

After nightfall yesterday, two Hamas militants were killed in an Israeli airstrike on a car in Gaza City, Hamas officials said. The Israeli military said it targeted a car carrying “terrorist activists". Hamas threatened revenge.

After the airstrike, Palestinians streamed to a house in Gaza City after they said the owner, a Hamas activist, received a warning from Israel that the house was to be targeted in an attack. Such demonstrations foiled three previous Israeli attacks on houses in recent days.