JERUSALEM ? Israeli leaders on Tuesday condemned a European Union ban on funding to Israeli institutions that operate in occupied territories, but also acknowledged the country's growing isolation over its construction of Jewish settlements in the West Bank and east Jerusalem.
The EU decision marked a new international show of displeasure with Israeli settlements built on lands captured in the 1967 Mideast war, bolstering the Palestinian claim to these territories and animating an increasingly discordant Israeli debate over the wisdom of the settlement enterprise.
The move dominated Israeli newscasts throughout the day, and prompted Prime Minister Benjamin Netanyahu to summon senior Cabinet ministers for consultations.
"We will not accept any external edicts about our borders," Netanyahu said, adding that borders could only be resolved through direct negotiations with the Palestinians. He was suggesting that the settlements are aimed at bringing about changes in the pre-1967 borders, but not absorb the entire West Bank.
Netanyahu said the Europeans should deal with what he called "slightly more urgent" matters in the region, including the civil war in Syria and the Iranian nuclear program.
But Netanyahu's finance minister and senior coalition partner, Yair Lapid, warned that the move reflected Israel's deteriorating position on the global stage.
"The latest decision is part of a long line of decisions that are leading to Israel's isolation in the world. Time is not on our side, and every day that Israel is not in peace negotiations is a day in which our international standing is harmed more," he said.
Negotiations have been stalled for nearly five years, with Israeli settlement construction at the heart of the deadlock. U.S. Secretary of State John Kerry was in neighboring Jordan on Tuesday as part of an ongoing effort to bring the sides back together for talks.
The EU's move was just the latest indication of international displeasure with the settlements.
Last year, the United Nations General Assembly, over strong Israeli objections, recognized a Palestinian state along the 1967 borders and gave it upgraded observer status. President Barack Obama also has condemned settlement construction and said a Palestinian state should be established along the 1967 lines.
In a statement, the EU's mission to Israel said the new funding guidelines were approved on June 30. They will apply to "grants, prizes and financial instruments funded by the EU from 2014 onwards."
The EU issues dozens of grants, totaling millions of euros, to Israeli universities, companies and researchers each year.
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Source: http://www.rep-am.com/news/national/737828.txt
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