SDE BOKER, Israel (Reuters) - Israel is ready to release many jailed Palestinians in return for a soldier seized by militants in June, Israeli Prime Minister Ehud Olmert announced on Monday, saying he was reaching out for peace.
In a major policy speech, Olmert offered to ease travel restrictions on Palestinians and free up frozen funds if violence against Israel ended. He repeated his readiness to give up some occupied land for an eventual peace agreement.
"We are ready and willing to pursue this path, and persevere until we reach the sought-after solution," Olmert said.
Within hours of Olmert's address, Palestinian militants in Gaza fired rockets into the Israeli border town of Sderot, despite a ceasefire declared on Sunday. Nobody was hurt.
Al-Aqsa Martyrs Brigades, part of Palestinian President Mahmoud Abbas's Fatah faction, claimed responsibility for the attack, which followed the killing of two Palestinians in an Israeli raid in the West Bank, where a truce is not in effect.
"In response to the prime minister extending his hand in peace, we see what some Palestinian factions are giving in return," Olmert spokeswoman Miri Eisin said.
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