ARAB-US RELATIONS - Aug 2 - Abbas And Israel Nudged Towards Talks.

Condoleezza Rice nudges Israel and the Palestinians towards peace talks, saying she will return to the region before a Middle East conference expected to take place this autumn in the US. The US secretary of state told Mahmoud Abbas, Palestinian president, that Israel was willing to discuss fundamental issues but gave no details. Given Israel's stated reluctance, talks were unlikely to include detailed discussion on core matters such as borders, the return of refugees or the status of Jerusalem. Abbas said he was ready to reach a "declaration of principles" with Israel, which could involve the rough contours of a Palestinian state. Israeli FM Tzipi Livni, said the government was not prepared to accept Abbas's proposal to negotiate the most sensitive core issues in the initial stages. While the agenda of the autumn conference remained unclear, momentum appeared to be building after Saudi Arabia indicated it might attend if issues of substance were discussed. The kingdom is one of the leading sponsors of an Arab initiative, which offers full ties with Israel if it withdraws from territories occupied since 1967 and allows the creation of a Palestinian state. The office of Ehud Olmert issued a statement on saying the Israeli PM shared the same approach, "that the international meeting will be serious and meaningful, and he welcomes the participation of leaders of Arab countries in the meeting". Ms Rice said in Ramallah: The president of the US has no desire to call people together for a photo opportunity. This is to call people together so that we can really advance Palestinian statehood". Among the many obstacles is the division between a Hamas-run Gaza Strip and the West Bank dominated by Abbas's Fatah party. The US and Israel refuse to deal with Hamas and Ms Riceon Thursday signed an agreement granting Abbas's government $80m (58.5m, [pounds sterling]39.4m) for reform of its security services. Meanwhile, one of Abbas's envoys, Nabil Shaath, appealed for humanitarian assistance for Gaza while on a trip to Indonesia on Thursday. US and Israeli policy is aimed at isolating Hamas in the hope of decreasing Palestinian support for the Islamic movement. But many observers say that Hamas will not disappear and that Abbas's weakness is mirrored by that of Olmert. Yassir Abed Rabo, an Abbas aide, said: I can't be optimistic until I see the Israelis accepting the Arab peace initiative and the international community committed to observing the implementation of a peace treaty, and a timetable for implementing this treaty".