Israel Takes Quiet Steps to Bolster Palestinians
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Under American encouragement and, in some cases, pressure, Israel has quietly taken steps aimed at strengthening the standing of Palestinian moderates.
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Some Israelis would like Egypt to take ongoing responsibility for the Palestinian territory.
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Secretary of State Colin Powell won a cautious pledge from Israel Monday to ease its military grip over Palestinian areas in order to make possible an election to replace the late Yasser Arafat.
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Hope for progress toward peace in the region is tempered by a Palestinian power vacuum.
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Little construction has taken place since Israeli soldiers and settlers pulled out of the Gaza Strip in summer 2005.
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Palestinian TV has toned down its martial posture, opting for gentler programming in line with rising hopes for Middle Eastern peace.
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Israel is reluctant to remove roadblocks and other West Bank restrictions to boost Palestinian President Mahmoud Abbas's new government until he does more to curb militants, officials said ahead of a summit on Monday.
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Israel said on Friday it had cut electricity supplies to Gaza as part of a campaign against militant attacks but stressed the reduction was minimal, amid international criticism.
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Israel said Friday it was easing a  crushing offensive that has killed more than 100 Palestinians  since tanks rumbled into northern Gaza 16 days ago to stop  militants from launching cross-border rocket attacks.
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While Palestinians mourn Yasser Arafat, Palestinian forces are taking urgent measures to loosen Israel&#39;s tightening grip over Palestine.
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CRAWFORD, Texas  - The Bush administration  signaled on Saturday that it may accept limited growth within  existing Israeli settlements in the West Bank in a shift that  could help embattled Prime Minister Ariel Sharon.
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Israel held out the prospect on Monday of coordinating a planned unilateral Gaza pullout with the Palestinians if a new leadership succeeding Yasser Arafat cracked down on militants.
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Â· Funds to boost support for president in West Bank  Â· Olmert offers concessions but 'no breakthrough'
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Jordan is quietly discussing closer ties - even some form of official union - with the Palestinian West Bank.
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Israel said it was forging closer ties with the European Union but stopped short of suggesting that the Jewish state should apply for full membership of the 25-nation bloc.
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Israel could ease tough closures on Palestinian areas if Yasser Arafat dies so as to encourage the emergence of a moderate successor and a ceasefire by armed groups, political sources say.
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Israel is considering relaxing its criteria for releasing Palestinian prisoners, officials said on Monday before the start of another round of peace talks bogged down by disputes over settlements.