Mideast leaders examine new plan

Israeli and Palestinian leaders are studying new proposals for a peace deal put forward by President Clinton during talks in Washington.

The Israeli caretaker prime minister, Ehud Barak, and members of his cabinet met overnight to examine details of the plan; the Palestinian leader, Yasser Arafat, has flown to Cairo for consultations with the Egyptian president, Hosni Mubarak.

Reports say the proposals envisage a Palestinian state on ninety-five percent of the West Bank and all the Gaza strip, and a hand-over to the Palestinians of Arab neighbourhoods in east Jerusalem, including the key holy site, the al-Aqsa mosque compound.

Most of the Palestinian refugees would be settled in the countries where they currently reside. Both sides are expected to deliver their verdicts on the peace plan by Wednesday.

From the newsroom of the BBC World Service