VZCZCXRO0006
OO RUEHROV
DE RUEHJM #1296/01 2111005
ZNR UUUUU ZZH
O 301005Z JUL 09
FM AMCONSUL JERUSALEM
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5575
RHEHAAA/WHITE HOUSE WASHDC
RHEHNSC/WHITE HOUSE NSC
RUEKJCS/SECDEF WASHDC
RUEKJCS/DIA WASHDC
RUEAIIA/CIA WASHDC
RUEADWD/DA WASHINGTON DC//DAS-ZD/DACS-ZK//
RUEAHQA/CSAF WASHINGTON DC//POLAD//
RHMFIUU/CMC WASHINGTON DC
RHMFIUU/CNO WASHINGTON DC//POLAD//
INFO RUEHXK/ARAB ISRAELI COLLECTIVE
RUEHTU/AMEMBASSY TUNIS 7798
RUEHLO/AMEMBASSY LONDON 4770
RUEHFR/AMEMBASSY PARIS 4617
RUEHNC/AMEMBASSY NICOSIA 6111
RUEHRO/AMEMBASSY ROME 4536
RUCNDT/USMISSION USUN NEW YORK 3112

UNCLAS SECTION 01 OF 02 JERUSALEM 001296 
 
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 (07/30): Palestinians look for 
next steps from US 
 
------------- 
Main Stories: 
------------- 
 
Al-Quds leads with news citing wires that Palestinian Authority (PA) 
Presidency Spokesperson Nabil Abu Rudeinah noted to the press on 
July 29 that he expects the next several weeks will be critical to 
US efforts to end the conflict in the region. Abu Rudeinah also 
stated that US Special Envoy George Mitchell's recent visit was 
extremely important because it will help the Obama administration 
identify its next steps in the region. Abu Rudeinah urged the US and 
the international community to keep working towards re-launching the 
peace process based on the Road Map, despite Israel's determination 
to pursue settlement construction. 
 
Al-Quds's lead story continues with Arab diplomatic sources noting 
that Arab States are hesitant to undertake confidence building 
measures with Israel at the request of the US. The article notes 
that the London-based "Asharq Alawsat" daily quoted an Arab 
ministerial source saying that, "It is still premature to talk about 
these steps." In related news, Al-Quds runs a front page article 
citing AFP stating that Saudi Arabia will not recognize Israel until 
the latter withdraws from the Palestinian Territories and accepts 
the two-state solution. 
 
Al-Quds front pages news citing Israeli TV Channel 10 that Israeli 
Prime Minister Benjamin Netanyahu issued orders to freeze the 
construction of 900 housing units in East Jerusalem due to US 
pressure. 
 
Al-Ayyam and Al-Hayat Al-Jadida lead with news on Hamas denying 
reports that following Syrian intervention they have agreed to allow 
Fatah members residing in Gaza to attend the Fatah Party Congress 
scheduled for August 4 in Bethlehem. The coverage also notes that 
Hamas arrested a number of Fatah members in Gaza who were supposed 
to attend. Fatah spokesperson Fahmi Zaarir noted on July 29 that if 
Hamas continues prohibiting Fatah members from getting out of Gaza, 
Fatah will be forced to take "hard decisions." 
 
Al-Quds and Al-Hayat Al-Jadida front page news on PA Prime Minister 
Salam Fayyad's participation in the launch of the USAID-funded 
"Centers of Excellence," part of USAID's Palestinian Authority 
Capacity Enhancement (PACE) project. Fayyad noted in his opening 
remarks that the PA is intent on achieving effective reforms to PA 
institutions. 
 
Al-Ayyam front pages news citing DPA on Israeli Prime Minister 
Benjamin Netanyahu's meeting with US National Security Advisor James 
Jones on July 29 in Tel Aviv, during which they discussed peace 
efforts in the region and the Iranian nuclear program. Netanyahu 
noted that the meeting was "useful." ------------- 
BLOCK QUOTES: 
------------- 
 
1) Abdel Majid Sweilem opines in Al-Ayyam independent daily under 
the title, "Mitchell's recent visit" (07/30): "If the US will not 
exert serious pressure on Israel, and if the Palestinians will not 
return to negotiations without a complete cessation of settlement 
construction in the West Bank and Jerusalem, any discussions of 
permanent borders at this stage will be embarrassing to the US 
because neither party will be willing to discuss it." 
 
2)Basem Abu Sumaya opines in Al-Hayat Al-Jadida official daily under 
 
JERUSALEM 00001296  002 OF 002 
 
 
r 
the title "The Palestinian Authority and the donor community " 
(07/30): "The Palestinians will never have an independent state if 
they continue to rely on funding from donor countries every 
month...In order to avoid this crisis and build a state that is 
capable of operating on its own, we must set strong economic and 
financial policies that will provide internal revenue and stop us 
from relying on external support." 
 
WALLES