While Israel and the Palestinian Authority are finally expected to begin US-mediated indirect “proximity” talks in the very near future, concern is growing among some in the Israeli government that the PA is planning to marginalize the diplomatic process and instead unilaterally seek UN recognition for a Palestinian state along the pre-1967 lines. Read the full story

Israeli Foreign Minister Avigdor Lieberman says Tel Aviv would annul previous peace accords with Palestinians if they decide to go ahead with plans to unilaterally declare an independent state. Read the full story

Israel has rejected the idea of foreign countries recognizing a Palestinian state, after France suggested the recognition could soon take place. Read the full story

The official explained to Bibi Netanyahu that if there was a peace settlement, extra investment would push Israel’s long-term growth rate from 5% a year to 7%. The Israeli prime minister responded that if the country had 5% growth, it did not need peace. Read the full story