Albright takes on Mid-East talks

The US president (centre) addresses Palestinian and Israeli negotiators

The US Secretary of State is to take the lead in the Middle East mediation efforts on Thursday as the Clinton administration's bid to broker a settlement goes into its final weeks.

We consider most of them [President Clinton's suggestions] to be an acceptable basis for discussion

Israeli Foreign Minister Ben-Ami

Madeleine Albright is to join Palestinian and Israeli negotiations at Bolling Air Force Base outside Washington, working on a framework set out by President Clinton.

On Wednesday the leader of the Palestinian delegation Saeb Erekat warned that the talks were still at an exploratory stage and played down hopes of a breakthrough.

However a more optimistic note was struck by another Palestinian official, Yasser Abed Rabbo.

Erekat: 'Major difficulties'

"We are close to achieving recognition of Palestinian sovereignty over Arab East Jerusalem, including the holy sites," he said in Jerusalem.

Mr Abed Rabbo said much remained to be worked out, but a deal could conceivably be reached as early as Saturday.

The Israeli Government, whose electoral hopes depend largely on success in the negotiations, were positive about talks.

"We are having very fruitful negotiations in a new and positive spirit with our Palestinian partners," said Israeli Foreign Minister Shlomo Ben-Ami.

"President Clinton presented us with the parameters of an accord; that is to say, a possible margin of manoeuvre on the different unsettled issues, " he told Israel Radio.

"We consider most of them to be an acceptable basis for discussion," Mr Ben-Ami added.

White House spokesman Jake Siewart emphasised that a solution lay with the parties themselves: "It's up to them to make the hard decisions."

On Thursday, President Clinton had a telephone conversation with Egyptian President Hosni Mubarak to brief him on the discussions in Washington.

Killings

The Washington talks began against a backdrop of continuing violence in the occupied territories.

Israeli troops killed a Palestinian man in the Gaza Strip during a gunfight early on Thursday, say Palestinian hospital officials.

More than 340 have died since the start of the current violence

Witnesses said the shooting was part of a battle during which Palestinian gunmen fired at Israeli army posts guarding the Egyptian border.

Palestinian officials say that Israeli troops also opened fire at a delegation of Arab and European diplomats visiting a refugee camp in the Gaza Strip.

Palestinian international co-operation minister Nabil Shaath said the diplomats, who included the Jordanian representative and the French consul, had to cut short their trip after being shot at with heavy machine guns from an Israeli checkpoint.

The Israeli army said it did not know the diplomats were in the area, but Mr Shaath said it had been informed in advance of the visit.

"They saw with their own eyes the Israeli terrorism," he said.

Five Palestinians were killed and dozens injured by Israeli gunfire on Wednesday.