BICOM

According to reports in the Israeli media today, the Egyptian-brokered unity agreement between Hamas and Fatah has been put on hold. Haaretz reports that Palestinian Authority President Mahmoud Abbas has concerns over a unity government with the Islamic militant group Hamas, as it would alienate his Western allies, particularly the US where Congress has threatened to cut funding to the PA if the unity agreement does not adhere to the Quartet principles.

The Jerusalem Post reports that the reconciliation accords are on hold as Hamas and Fatah have failed to agree on the identity of the prime minister who would head a new Palestinian unity government. Fatah insists on the appointment of current Palestinian Authority Prime Minister Salam Fayyad – a popular choice with Western governments for his management of the West Bank economy – Hamas, however, strongly rejected Fayyad’s nomination.

The international community is keen for a unity government, ahead of expected Palestinian elections in 2012, to meet the quartet principles and for Salam Fayyad to remain as caretaker Prime Minister. Hamas, however, is unprepared to accept either of these conditions, thus a unity agreement between Fatah and Hamas is at a standstill.

Meanwhile, the US is working to find a basis for a return to talks between Israel and the Palestinian Authority. A Quartet meeting is scheduled for 11 July, where it is hoped that a formula can be reached which brings both sides back to negotiations and forgoes the need for unilateral initiatives by the Palestinians in September.

In other news, a skirmish on the Gaza border has been reported this morning. According to reports, an IDF soldier has sustained mild injuries after a roadside bomb exploded near an IDF tank operating near the security fence in southern Gaza.