Israeli and Palestinian leaders have agreed to re-start negotiations to reach a comprehensive peace deal by the end of 2008.
Condoleezza Rice, the
"The focus here has been on the obligations not only of the parties but of the international community to achieve our shared goal of two democratic states -
Three-way talks
George Bush, the
Rice said Abbas and Olmert would meet again on December 12 and continue biweekly after that.
Bush said "Palestinians and Israelis each understand that helping the other to realise their aspirations is the key to realising their own, and both require an independent, democratic, viable Palestinian state".
"Such a state will provide Palestinians with the chance to lead lives of freedom, purpose and dignity. And such a state will help provide Israelis with something they have been seeking for generations: to live in peace with their neighbours."
Bush said the Palestinians must improve security and stability in their territories and called for an end to Israeli settlement expansion.
But he did not mention the most intractable issues of borders, the final status of
Neither the Palestinians nor the Israelis have indicated they would budge from their positions on those points.
'Time right'
Bush told delegates from more than 50 countries and organisations: "In light of recent developments, some have suggested that now is not the right time to pursue peace. I disagree.
"I believe that now is precisely the right time to begin these negotiations - for a number of reasons."
He said: "The time is right because a battle is under way for the future of the
And in remarks that struck a sensitive Palestinian nerve, Bush said "the
"This settlement will establish
Core issues
He was followed at the podium in the memorial hall of the naval academy by Mahmoud Abbas, the Palestinian president, and Ehud Olmert, the Israeli prime minister.
Abbas laid out some core issues in his speech.
"Tomorrow, we have to start comprehensive and deep negotiations on all issues of final status, including Jerusalem, refugees, borders, settlements, water and security and others," he said.
He expressed the Palestinians' desire for
Abbas said: "The exceptional opportunity that the Arab, Islamic and international prescience brings us today coupled with overwhelming Palestinian and Israeli public opinion in support of
'Painful compromise'
Olmert, for his part, reached out to Arab delegates by using the Arabic phrase for "welcome".
"I have no doubt that the reality created in our region in 1967 will change significantly," he said.
"While this will be an extremely difficult process for many of us, it is nevertheless inevitable. I know it. Many of my people know it. We are ready for it."
Olmert said: "We want peace. We demand an end to terror, incitement and hatred. We are willing to make a painful compromise, rife with risks, in order to realise these aspirations."
He did not mention the issue of Jewish West Bank settlement building.
In
Ismail Haniyeh, the Hamas leader and deposed Palestinian prime minister, said Abbas had gone to
Bush has made clear that while he was happy to play cheerleader at the conference, he saw the
Al Jazeera correspondent Rob Reynolds said, in what could be interpreted as a symbol of how deep his commitment to the process really is, the
PHOTO CAPTION
Palestinian President Mahmoud Abbas watches the news on the
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