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US open to some contact with Palestinians' Fayyad
16 Mar 2007 21:31:58 GMT
Source: Reuters

(Adds confirmation by second U.S. official, paragraphs 1, 7)

By Arshad Mohammed

WASHINGTON, March 16 (Reuters) - The United States has decided to leave the door open to some contact with the proposed Palestinian finance minister even if the government he plans to join fails to recognize Israel, renounce violence and respect past peace deals, two U.S. officials said on Friday.

The desire to maintain such unofficial contacts with Salam Fayyad represents a shift in approach by the United States, which has been reluctant to deal with members of any Hamas-led government because it views the faction as a terrorist group.

Palestinian President Mahmoud Abbas of Fatah and Prime Minister Ismail Haniyeh of Hamas have agreed to form a unity government that is expected to be sworn in on Saturday and poses a U.S. policy dilemma over how to deal with its non-Hamas members.

The unity government will be headed by Haniyeh, whom the United States refuses to deal with, but it will include Fayyad, a Western-backed economist highly respected by the Bush administration, in the key post of finance minister.

Palestinians hope that the unity government may produce some softening in a Western aid boycott against the current Hamas-led government.

The United States has adopted a wait-and-see attitude toward the new government, hoping it may accept the three international conditions of recognizing Israel, renouncing violence and abiding by past peace deals. If it does not, Washington is expected to boycott the government.

One U.S. official, who asked not to be named because of the sensitivity of the matter, said Washington would not deal with Fayyad in his official capacity as finance minister but had decided to leave the door open to unofficial contacts.

He also said the United States would not view Fayyad as a terrorist if he joins the unity government as planned.

Palestinian sources said Washington could meet with Fayyad in his capacity as financial adviser to the Palestine Liberation Organization, allowing Washington to keep in touch while maintaining that it is still boycotting the government.

BRITISH CONTACTS

Israel has decided to shun the unity government entirely.

Britain, in a break with Israel, will allow diplomatic contacts with non-Hamas ministers in the proposed Palestinian unity government but will continue to shun members of the Islamist group, European diplomats said on Friday.

British contacts will be allowed with Fatah members and independents in the new cabinet, including Fayyad and the incoming foreign minister, Ziad Abu Amr.

Israel had no immediate comment on the British decision, which was deplored by Hamas as discriminatory.

It appears unlikely that the unity government will accept the three international conditions laid down last year by "Quartet" of Middle East peace mediators -- the United States, the United Nations, Russia and the European Union.

The Quartet has imposed an aid embargo on the Hamas-led government because it refused to meet the conditions. Islamist Hamas came to power in January 2006 elections, ousting Abbas' Fatah party.

When Fatah last year appeared poised to join a coalition government led by Hamas, the U.S. government pressured it to back away.

In March 2006, David Welch, the top U.S. diplomat for the Middle East, warned any parties that they would risk being regarded by Washington as a terrorist group if they took part in a coalition government with Hamas. (Additional reporting by Adam Entous and Wafa Amr in Jerusalem)
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