US Secretary of State Condoleezza Rice has criticised Israel's continued construction of settlements on Palestinian land, saying this threatened to undermine peace talks with the Palestinians. Rice made the comments after the Israeli group Peace Now released a report stating construction work on new settlements in the occupied West Bank had nearly doubled in the first five months of this year. Rice's Israeli counterpart Tzipi Livni disputes this, saying settlement activity had been reduced in the most dramatic way.
Rice is on her seventh visit to the region since talks were re-launched to reach a peace deal by the end of 2008.
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