Rice: Israeli Settlements Have 'Negative Effect' on Peace Talks

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15 June 2008

America's top diplomat is in the Middle East trying to get the peaceprocess back on track. Robert Berger reports from the VOA bureau inJerusalem.

Israeli settlement expansion topped the agenda asSecretary of State Condoleezza Rice met separately with Israeli andPalestinian leaders. Rice used exceptionally harsh language to condemnIsrael's announcement on Friday that it plans to build 1,300 new homesin disputed East Jerusalem, on land the Palestinians claim for theirfuture capital.

"I do believe and the United States believesthat the actions and the announcements that are taking place are indeedhaving a negative effect on the atmosphere for negotiation," saidCondoleezza Rice. "And that is not what we want. We should be in aposition of encouraging confidence, not undermining it."

Rice spoke at a news conference with Palestinian President Mahmoud Abbas in the West Bank town of Ramallah.

"Webelieve that settlement is the highest hurdle on the road of ourpolitical endeavors," said Mahmoud Abbas. "With the continued expansionand building of settlements the more tough the hurdle would become."

Israelsays it has the right to build anywhere in Jerusalem because it willremain the capital of the Jewish state in any final peace agreement.

Despite the obstacles, Rice said both sides remain committed to the peace process.

"Weare all devoted to and believe that it is possible to establish theagreement between the Palestinians and the Israelis for theestablishment of a Palestinian state by the end of the year," saidMahmoud Abbas.

But that goal is in doubt because in addition tothe settlements, gaps are wide on core issues like Palestinian refugeesand the status of Jerusalem.

Israeli Prime Minister EhudOlmert is also embroiled in a corruption scandal that could force himto step down. In the meantime, Mr. Olmert is widely seen as too weakto close a peace deal involving major territorial concessions to thePalestinians.