Israel has announced two new housing projects in East Jerusalem and the West Bank, continuing to expand its settlements. Officials have stated that a bill to be approved by parliament this week, would set aside $25 million for the expansion of development projects in Har Homa and Maale Adumim. The bill would create 500 apartments in the Har Homa area and another 240 in Maale Adumim.

Israel agreed to let about 900 Gaza pilgrims travel through Israeli territory en route to a Muslim pilgrimage in Saudi Arabia, Palestinian and Israeli officials said.

There has been a mixed reaction in Israel and the Palestinian territories to the Annapolis Mideast peace conference. VOA's Jim Teeple spoke with Palestinians in the West Bank city of Ramallah, and with Israelis in Jerusalem about how they view Tuesday's conference.

A Vatican official supposes that Palestinian refugees have the right to return to their homeland. He hopes Israeli-Palestinian peace talks would address the issue.

United States President George W Bush says it is the "right time" for peace between Israelis and Palestinians, but has admitted the road would be difficult as he readied to open a major international gathering.

US President George W Bush has held separate meetings with the Israeli and Palestinian leaders before all of them attend the much anticipated Middle East peace conference in the historic American city of Annapolis.

Palestinian President Mahmud Abbas arrived in the United States late on Saturday to take part in an international Middle East peace conference that opens Tuesday in Annapolis, Maryland.

Arab foreign ministers meeting in Cairo have agreed to attend a US-sponsored peace conference next week, giving a boost to the US Government's efforts to revive the Middle East peace process.

On November 27, the United States will host Israeli Prime Minister Ehud Olmert, Palestinian Authority President Mahmoud Abbas, along with the Members of the Quartet, the Members of the Arab League Follow-on Committee, the G-8, the permanent members of the United Nations Security Council, and other key international actors for a conference at the United States Naval Academy in Annapolis, Maryland.

Israel's prime minister has received cabinet approval to release 441 Palestinian prisoners ahead of next week's Mideast peace conference in Annapolis, Maryland. Mr. Olmert told his cabinet he plans to remove unauthorized settlements in the West Bank. As VOA's Jim Teeple reports from Jerusalem, Palestinians have criticized the prisoner release as inadequate.

Israeli Prime Minister Ehud Olmert is seeking to win wide Arab participation in a US-led peace conference by reaffirming a pledge not to build new Jewish settlements and to uproot smaller outposts.

Hamas loyalists demonstrated in a Gaza City on Friday and warned Palestinian President Mahmoud Abbas that violence would erupt if he makes concessions to Israel in an upcoming U.S.-sponsored peace conference.