JERUSALEM MEDIA REACTION (03/17): A CALL FOR A

UNCLAS SECTION 01 OF 02 JERUSALEM 000480 SIPDIS STATE PASS BBG STATE FOR NEA, NEA/IPA, NEA/PPD WHITE HOUSE FOR PRESS OFFICE, SIT ROOM NSC CMC WASHINGTON DC FOR POLAD JERUSALEM ALSO FOR ICD LONDON FOR HKANONA AND POL - TSOU PARIS ALSO FOR POL ROME FOR MFO E.O. 12958: N/A TAGS: PREL KMDR KPAL KWBG KPAO IS SUBJECT: JERUSALEM MEDIA REACTION (03/17): A CALL FOR A "NON-FACTIONAL, INTERIM" PA GOVERNMENT -------------- Main Stories: -------------- Al Quds and Al Hayat Al Jadida lead with the "Palestinian dialogue" in Cairo. Al Quds reports that dialogue sessions have intensified in an effort to reach an agreement within 48 hours. The paper quotes PLO Executive Committee member Nabil Shaath of Fatah, stating that differences focus on whether the Palestinian Authority government should be, "factional or independent." Al Quds adds that Hamas would like a factional government that includes independent members, with the Mecca agreement as its policy platform. Al Hayat Al Jadida highlights further differences centered on the question of whether a new government should "respect" or "commit" to PLO-signed agreements. Al Ayyam's front page report on the topic notes that the High Dialogue Committee hopes to "find a way around the obstacles" before March 22. Al Ayyam leads with and all papers front page news that the prisoner exchange between Israel and Hamas is still pending. The dailies note that Israel has agreed to release 400 of the 450 Palestinian prisoners on Hamas' list and that difficulties remain centered on Israel's demand to "deport" some prisoners outside the Palestinian Territories and release some West Bank prisoners into the Gaza Strip. In related news, Al Ayyam's front page cites Ma'an in reporting that families of Israelis killed by some of the Palestinian prisoners have set up an organization to, "avenge the killing of their relatives," should the prisoners be released. Al Quds' front page reports that the Israeli Army Chief of Staff Gabi Ashkenazi, during his recent visit to the U.S., told a "friends of the IDF" group that the Israeli army must be prepared to attack Iran, adding that Israel does not rule out that scenario. Ashkenazi also met with Dennis Ross, the designate for U.S. Envoy to the Persian Gulf, reporting notes. Al Ayyam's front page publishes excerpts of the government coalition agreement signed between Israeli Likud party head Netanyahu and the Israeli Beitenu party, highlighting that the text "ignores" the two-state solution and identifies the ousting of Hamas in Gaza as a strategic goal. The paper also reports that Israeli police intend to investigate Beitenu party chief Lieberman on corruption charges. In related news, Al Ayyam's front page cites the DPA in quoting EU foreign policy chief Solana calling on any new Israeli Government to commit to the two-state solution. An Al Quds' inside report analyses reasons behind the resignation of Palestinian Authority Premier Fayyad, stating that it could have been submitted for one of three reasons: Fayyad is fed up with criticism from Fatah's "old guard"; he is fed up with criticism from Hamas, or he is simply sending a message to reconciliation dialogue participants in Cairo that he will not be party to the political crisis. Al Quds and Al Hayat Al Jadida republish inside page reporting on the recent visit by Assistant Secretary of State David Johnson to the new training facility for Palestinian Authority security forces in Jericho. The papers also report on a separate USG visit to USAID-projects in the northern West Bank and Jordan Valley on March ¶16. The papers quote a visiting USAID official stressing USAID commitment to assisting Palestinians improve their quality of life and support infrastructure and school construction projects. -------------- BLOCK QUOTES: -------------- 1) Independent daily Al Quds' editorial is titled, "Dialogue should exit the vicious circle"(03/17): "Maybe [it would be possible], as JERUSALEM 00000480 002 OF 002 proposed by a number of factional leaders and their spokesmen, to form a non-political government with members not affiliated with either Fatah or Hamas. It would be an interim government with a mission limited to Gaza reconstruction and preparing for presidential and legislative elections, based on agreements signed between the PLO and Israel. Thus, it would be a government of national reform, reconstruction and consensus." 2) Rajab Abu Sarayah opines in independent Al Ayyam under the title, "Crossroads"(03/17): "In our opinion, the progress on all issues... means nothing if the [Palestinian reconciliation] dialogue in Cairo does not result in a declaration of a national unity or consensus government before members leave Cairo." WALLES