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GeoffNI
Israel and the Palestinians have agreed to negotiate on the issue of Jerusalem, as well as parts of the Dead Sea, US Consul-General Jacob Walles said in an interview published by the Palestinian daily, Al-Ayyam on Thursday.

According to the interview, which was cited by Israel Radio, the consul-general said that negotiations would be based on the 1967 borders, with changes to those borders being possible should both sides agree.

Walles told the paper that the other core issues, including that of the refugees, were also expected to be discussed.

In response to the report, the US State Department issued a statement asserting that the US government had not taken a position on the borders of a future Palestinian state.

"While the discussions between the parties are confidential, we can state that the parties have not in any way prejudiced long held views on borders," the statement said.

"A senior US official who participated in the discussions denies that the Israeli side, led by chief negotiator, Foreign Minister [Tzipi] Livni, has been willing to negotiate concerning Jerusalem," it continued.


Also responding to the report, opposition leader Binyamin Netanyahu said Walles' comments proved the ineptitude of the current government.

"The government lost all moral validity and legitimacy a long time ago," he said. "The time has come to hold elections."


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