US and EU guarded in response to deal

Washington: Key players in the Middle East peace process gave muted reaction to the newly announced power-sharing deal in Palestine.

The United States withheld judgment yesterday on the deal between its Palestinian allies and the radical Hamas movement.

"We will wait until the government is actually in place and we have an understanding of what their platform will be before we make any final judgments about it," State Department spokesman Sean McCormack said.

European Union officials said it was still too early to decide whether to resume direct aid to the Palestinian government.

EU spokeswoman Emma Udwin told reporters the European Commission had not yet assessed the programme of the new Palestinian National Authority's unity government.

"We need to study the programme and the actions of the new government very carefully and of course ... to consult with our partners as well in order to take a decision on how and indeed whether it is possible to gradually re-engage," she said.

But Israel rejected any contacts with the new Palestinian government uniting rival factions Fatah and Hamas, which is regarded as a terrorist outfit by the Jewish state and the West.

"The Israeli position remains the same," government spokeswoman Miri Eisin said in the first official reaction to the new Palestinian cabinet lineup.

"We will not recognise or deal with this government or with members of this government and we expect the international community to stand firm in their demand to adopt the three principles."

She was referring to three conditions set by the international Quartet for Middle East peace - renouncing violence, recognising Israel and agreeing to abide by past peace deals.

Hamas has so far refused to agree to the demands.

The incoming Palestinian cabinet - dominated by members of Hamas - has not agreed to abide by the conditions.

Complete truce

In its political programme, extracts of which have been obtained by AFP, it says it will only "respect" past agreements, calls for a "complete truce" in Israeli-Palestinian violence on condition that it is "reciprocated," and defends the Palestinian "right of resistance".

The programme does not mention Israel and says the new government will work toward creating a Palestinian state "in the West Bank and the Gaza Strip, with occupied Jerusalem as the capital" and towards "the return of refugees to their lands".

Earlier a senior Israeli official said that the Jewish state would be ready to work with the new Palestinian government under certain conditions.

"If the new government manages to guarantee a swift and successful end to the problems of Gilad Shalit and the ongoing Qassam [rocket] fire, Israel will use a pragmatic approach that will allow working with the government," he said on condition of anonymity.

He was referring to an Israeli soldier who was captured by Gaza-based militants nearly nine months ago and to rockets fired by gunmen from the coastal strip on a regular basis into the Jewish state.

"Israel will be ready to be more flexible towards the Palestinian government," the official said.

Solana welcomes unity government

EU foreign policy chief Javier Solana welcomed the formation of the Palestinian unity government but also said the international community needed more time to evaluate its positions.

"As we have said many times, we are going to wait and see. ... There are many important things taking place now," Solana told reporters outside a meeting of foreign ministers in Germany.