Palestinian cabinet minister Saeb Erekat has said the Israeli governmentcoalition crisis was another sign that Israeli politicians weremoving "faster and faster away from an atmosphere of peace".
"If the Likud will form another right-wing coalitiongovernment, it will also be at the expense of the peace processand the Palestinian people because again it would also mean moresettlement activities and more fait accompli policies," Erekattold journalists.
Erekat's reaction underscored the deterioration of effortsto end a two-year Palestinian uprising against Israelioccupation, which has killed at least 1,636 Palestinians and 623Israelis.
"The Israeli political arena is moving faster and fasteraway from an atmosphere of peace," he said.
Foreign Minister Shimon Peres, the dovish Labour Ministerwho resigned from the coalition along with his colleagues, hadpushed for continued contacts with Palestinians and held talkswith Erekat over easing conditions for Palestinian civilians.
Sharon now faces early elections or the need to form anarrower right-wing government by drawing in smallerultra-nationalist parties.