Palestinian Prime Minister Ahmed Qurie said today US President George W. Bush's assurance to Israel that it could keep some West Bank territory was unacceptable.
"Bush is the first US president to give legitimacy to Jewish settlements on Palestinian land. We reject this, we will not accept it," he told reporters at his West Bank home.
At a joint press conference today with Israeli Prime Minister, Mr Ariel Sharon, President Bush said that Israel has a claim on some West Bank land that Palestinians say is theirs, in a shift in policy that could have major implications for Middle East peace negotiations.
President Bush cited "new realities on the ground" for the change in policy, including already existing major Israeli population centers on the West Bank.
Of Mr Sharon's planned Gaza pullout, President Bush said: "These are historic and courageous actions" and urged all parties to choose this moment to help "put an end to one of the world's longest running conflicts."
In another sensitive issue, President Bush appeared to negate any right of return for Palestinian refugees to what is now Israel.
He said a solution to their plight will need to be found "through the establishment of a Palestinian state and the settling of Palestinian refugees there rather than in Israel."