Bush due in Israel as scandal clouds peace hopes

U.S. President George W. Bush arrives in the Middle East on Wednesday to celebrate Israel's 60th birthday Bush will also try to energize peace efforts complicated by a corruption scandal that could topple its prime minister. Bush due in Israel as scandal clouds peace hopes Bush, who faces deep doubt he can secure a deal between Israel and the Palestinians before leaving office in January, visits Jerusalem first, where a bribery investigation against Prime Minister Ehud Olmert is under way. Olmert, fighting for his political survival, said on the eve of Bush's second visit to the region this year that he and Palestinian President Mahmoud Abbas had reached "understandings and points of agreement" on some issues. But Palestinian officials were sceptical, and one noted that the two sides "still have a long way to go". With the clock ticking down on his administration, Bush is trying to salvage a foreign policy legacy encompassing more than the unpopular war in Iraq. "It's hard to remember a less auspicious time to pursue Arab-Israeli peacemaking than right now," said Jon Alterman, a Middle East expert at the Center for Strategic and International Studies in Washington. "The politics on the ground are absolutely miserable." Olmert and Abbas agreed at a U.S.-hosted conference in Annapolis, Maryland, in November to try to reach a peace deal, including an agreement on Palestinian statehood, by year's end. Since then, talks have faltered over Israeli settlement expansion plans in the occupied West Bank and violence in and around the Hamas-controlled Gaza Strip, where cross-border rocket fire has drawn a tough Israeli military response. Highlighting the bloodshed in Gaza, Palestinian medics said on Wednesday Israeli air strikes killed a Hamas gunman. Progress Bush will be mindful of another crisis brewing next door in Lebanon, where a power struggle between the pro-Western government and Iranian-backed Hezbollah could deal a further blow to U.S. efforts to stabilize the Middle East. Speaking to reporters en route to the Middle East, U.S. national security adviser Stephen Hadley said Bush was still confident an Israeli-Palestinian deal could be reached. "He thinks it still can be done. It's obviously hard . ... There's limited time left, but I think we believe the parties are making progress," Hadley said. In the latest setback to peace efforts, Olmert, who meets Bush later on Wednesday, faces calls to resign over allegations he took bribes from a wealthy U.S. businessman. Although he has denied wrongdoing, he has pledged to quit if indicted. Bush has played down the potential fallout, calling Olmert an "honest man", but if the prime minister is forced to quit, that could trigger new elections and derail peace efforts. Israeli police investigating Olmert raided the offices of a government ministry and confiscated documents on Tuesday. A police source said they also quizzed U.S. casino billionaire Sheldon Adelson, who is in Jerusalem for Israel's anniversary. Critics say Bush's diplomatic drive, launched in the twilight of his presidency, is too little, too late and the two sides remain so far apart that Bush has no plans to bring the leaders together during his visit. Many Israelis view Bush as the best friend the Jewish state has had in the White House, while much of the Arab world question his ability to be an even-handed peace broker. Bush will stay out of the Palestinian areas and instead hold talks with Abbas at the Egyptian resort of Sharm el-Sheikh on Saturday. Like Olmert, Abbas is weak at home. He governs only in the West Bank while Hamas Islamists control Gaza. Also on Bush's agenda when he visits Egypt is a meeting with Lebanese Prime Minister Fouad Siniora, who faces an armed challenge from Hezbollah. Bush will stop in Saudi Arabia on Friday and again try to coax King Abdullah to help curb record oil prices, an appeal likely to fall on deaf ears.

Bush due in Israel as scandal clouds peace hopes

Bush, who faces deep doubt he can secure a deal between Israel and the Palestinians before leaving office in January, visits Jerusalem first, where a bribery investigation against Prime Minister Ehud Olmert is under way.

Olmert, fighting for his political survival, said on the eve of Bush's second visit to the region this year that he and Palestinian President Mahmoud Abbas had reached "understandings and points of agreement" on some issues.

But Palestinian officials were sceptical, and one noted that the two sides "still have a long way to go".

With the clock ticking down on his administration, Bush is trying to salvage a foreign policy legacy encompassing more than the unpopular war in Iraq.

"It's hard to remember a less auspicious time to pursue Arab-Israeli peacemaking than right now," said Jon Alterman, a Middle East expert at the Center for Strategic and International Studies in Washington.

"The politics on the ground are absolutely miserable."

Olmert and Abbas agreed at a U.S.-hosted conference in Annapolis, Maryland, in November to try to reach a peace deal, including an agreement on Palestinian statehood, by year's end.

Since then, talks have faltered over Israeli settlement expansion plans in the occupied West Bank and violence in and around the Hamas-controlled Gaza Strip, where cross-border rocket fire has drawn a tough Israeli military response.

Highlighting the bloodshed in Gaza, Palestinian medics said on Wednesday Israeli air strikes killed a Hamas gunman.

Progress

Bush will be mindful of another crisis brewing next door in Lebanon, where a power struggle between the pro-Western government and Iranian-backed Hezbollah could deal a further blow to U.S. efforts to stabilize the Middle East.

Speaking to reporters en route to the Middle East, U.S. national security adviser Stephen Hadley said Bush was still confident an Israeli-Palestinian deal could be reached.

"He thinks it still can be done. It's obviously hard . ... There's limited time left, but I think we believe the parties are making progress," Hadley said.

In the latest setback to peace efforts, Olmert, who meets Bush later on Wednesday, faces calls to resign over allegations he took bribes from a wealthy U.S. businessman. Although he has denied wrongdoing, he has pledged to quit if indicted.

Bush has played down the potential fallout, calling Olmert an "honest man", but if the prime minister is forced to quit, that could trigger new elections and derail peace efforts.

Israeli police investigating Olmert raided the offices of a government ministry and confiscated documents on Tuesday. A police source said they also quizzed U.S. casino billionaire Sheldon Adelson, who is in Jerusalem for Israel's anniversary.

Critics say Bush's diplomatic drive, launched in the twilight of his presidency, is too little, too late and the two sides remain so far apart that Bush has no plans to bring the leaders together during his visit.

Many Israelis view Bush as the best friend the Jewish state has had in the White House, while much of the Arab world question his ability to be an even-handed peace broker.

Bush will stay out of the Palestinian areas and instead hold talks with Abbas at the Egyptian resort of Sharm el-Sheikh on Saturday. Like Olmert, Abbas is weak at home. He governs only in the West Bank while Hamas Islamists control Gaza.

Also on Bush's agenda when he visits Egypt is a meeting with Lebanese Prime Minister Fouad Siniora, who faces an armed challenge from Hezbollah. Bush will stop in Saudi Arabia on Friday and again try to coax King Abdullah to help curb record oil prices, an appeal likely to fall on deaf ears.