Tuesday, June 12, 2012

Vatican, Israel to Sign Economic Agreement

'The Vatican is about to "indirectly recognise" Israel's annexation of East Jerusalem, seen by many Palestinians as the future capital of their independent state, a media report on Monday said.

This would be done if the draft of an economic agreement between the Jewish state and the Holy See, containing no distinction between sovereign Israel and the territories occupied by it in 1967, is approved by the two sides, Ha'aretz online reported.

The lack of a preamble containing such a distinction is at the center of heightened tension between Palestinian Christian denominations and the Palestine Liberation Organisation (PLO) and the Vatican, it said.'