Pres. Abbas lays down conditions for returning to peace talks, rules out resumption of violence. The Washington Post's profile of two Palestinian brothers, one in the West Bank and the other in Gaza, illustrate growing political divisions in Palestinian society. The Christian Science Monitor says Egypt's Gaza border wall has deep strategic significance, and asks whether soldiers will obey extremist rabbis or PM Netanyahu. The Voice of America reviews the year of stalemated peace talks. PM Fayyad says Palestinian state building is underway. A report in Ha'aretz looks at tax exempt US funding for extremist settlers, including a rabbi who recently rationalized the killing of non-Jewish babies. Both Israel and the UK confirm that a British court issued and then withdrew an arrest warrant for former Foreign Minister Tzipi Livni. The Guardian profiles Palestinian "tunnel tycoons." The EU is formally reviewing its ties to Israel because of skepticism about its intentions on peace. Husam Itani says Palestinians are partly to blame for their own predicament and a commentary in the Arab News says Netanyahu is not serious about peace at all. In Bitter Lemons, Ghassan Khatib calls for increased international engagement to promote serious negotiations and Issa Samander suggests that Israelis would see realities differently if settlers were returned to Israel and behaved there as they do in the occupied Palestinian territories.

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