Palestine will not participate in proximity talks with Israel, said Palestinian President Mahmoud Abbas in the course of phone conversation with Arab States League Secretary General of Amr Moussa.

According to Moussa, after the March 10 LAS session in Cairo on Arab peace initiative under these circumstances Palestinian side is not ready to hold talks “All contacts are parted.”

Decision on negotiations’ break off was made after Israel initiated construction of new settlements on disputable territories, Reuters reports.

Tuesday Israel announced of construction of 1600 houses in Eastern Jerusalem, which is a stumbling rock in Israel-Palestine talks.

Israeli FM confirmed that the construction is scheduled in the region which Palestinians wish to declare their future capital.

S.T.