By Jeffrey Heller
Jerusalem - Israel announced on Wednesday it was limiting settlement construction for 10 months to try to revive peace negotiations with the Palestinians, but they said the step fell short of their terms for talks.
Prime Minister Benjamin Netanyahu called the move, which was immediately welcomed by ally the United States, a major step toward peace.
But his plan excluded areas of the West Bank that Israel annexed to its Jerusalem municipality after the 1967 war and building projects already under way - falling short of the full freeze demanded by the Palestinians.
In an address to the nation, Netanyahu assured Israelis that building would begin again but he urged Palestinian leaders to respond to his gesture.
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He then repeated nearly the entire prime time address in English, describing steps Israel says it has taken to improve living conditions for Palestinians in the West Bank, presumably speaking to an international audience.
"Israel today has taken a far-reaching step toward peace," he said. "It's time for the Palestinians to do the same."
However, Nabil Abu Rdainah, a spokesperson for Palestinian President Mahmoud Abbas, said: "Any return to negotiations must be on the basis of a complete settlement freeze, and in Jerusalem foremost."
The policy means there will be no new residential building permits issued for 10 months and that no new house building can start in that time in "Judea and Samaria", Israel's terms for the West Bank excluding annexed areas around Jerusalem.
Israel's anti-settlement Peace Now group praised the decision as "historic".
By imposing the construction limits, Netanyahu could hope to ease international pressure on Israel and win explicit US backing, while putting the onus on the Palestinians to return to negotiations without preconditions as Washington has urged.
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