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Bush says Israel must cede land Bush urges Israeli occupation end
(10 minutes later)
Israeli occupation of Arab land taken in 1967 must end, US President George W Bush has said. US President George W Bush has said Israel must end occupation of Arab land taken in 1967 so that a viable Palestinian state can be created.
Speaking after two days of talks with Israeli and Palestinian leaders, he re-affirmed US commitment to an Israel inside secure and defensible borders. He also urged a solution to the Palestinian refugee issue which would involve paying compensation.
He also said there must be a viable Palestinian state, and a solution to the refugee issue which would involve compensation payments. This is thought to be the first time Mr Bush has publicly pressed the Israelis to give up occupied land.
Mr Bush also called on Arab states to reach out to Israel. Mr Bush was speaking in Jerusalem after two days of talks with Israeli and Palestinian leaders.
He also re-affirmed US commitment to an Israel inside secure and defensible borders.
And he called on Arab states to reach out to Israel - a step he said was "long overdue".
Earlier, Mr Bush said he believed the two sides would be able to sign a peace deal before he leaves office in January 2009.