RAMALLAH, July 5 (JMCC) - Israeli Prime Minister Benjamin Netanyahu and US President Barack Obama have agreed that Israel will continue its settlement freeze in most areas of the occupied West Bank, reports the Jerusalem Post.

In exchange, Obama will indicate in a speech that the United States accepts the existence of some major settlement blocs. The two are scheduled to meet on Tuesday in Washington.

The move would bring the United States administration closer to positions outlined in a letter written by former President George W. Bush to then-Prime Minister Ariel Sharon in 2004. The Obama administration has thus far refused to accept those positions, repeating the US position that settlements are illegal under international law.

The report comes just after al-Hayat newspaper reported that Palestinians had submitted a written proposal to Israel for a land swap of 2.3 percent of the West Bank, comprised of the major settlements of Pisgat Zeev, Modin Illit and the Gush Etzion bloc. Palestinian officials denied the report, saying that the Palestinian position adheres to international law.

Read the article at the Jerusalem Post...