Image: Benjamin Netanyahu
Oded Balilty  /  AP
Israeli Prime Minister Benjamin Netanyahu arrives for a Likud faction meeting in the Knesset, Israel's parliament, in Jerusalem on Monday, Oct. 18, 2010.
msnbc.com news services
updated 10/18/2010 1:37:08 PM ET 2010-10-18T17:37:08

Gaza's Hamas rulers have obtained anti-aircraft missiles, Israel's prime minister said Monday, in a potentially game-changing development that could threaten the Israeli air force's ability to strike at the Islamic militant group.

Israeli aircraft have long dominated the skies over Gaza, striking suspected Hamas military installations and assassinating dozens of wanted militants. The Israeli air force played a key role in a fierce three-week offensive in Gaza early last year, which began with airstrikes that killed hundreds of Hamas fighters.

Speaking to his Likud Party, Netanyahu disclosed that Israel's aerial freedom has been compromised by the new weaponry in Gaza, presumably smuggled into the area through tunnels connected to neighboring Egypt. He said any future peace agreement would have to include security arrangements to deal with the threat.

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Israel believes that despite its military offensive and Egypt's stated goal of halting arms smuggling, Hamas has managed to restock its arsenal with longer-range missiles that can strike the heart of Israel.

Netanyahu's assessment was the first time an Israeli official has openly said Hamas also possesses anti-aircraft weaponry, though intelligence officials have privately suspected that was the case.

'Struggling to fly'
"The security problem is not just the new rockets that will enter the area and will threaten city centers. I don't know if you know this, but today we are struggling to fly near Gaza because they have anti-aircraft missiles there," Netanyahu said.

He warned that the missiles could also threaten air traffic at Israel's international airport. "Israel's security needs are real, the solutions have to be real, not on paper. We need to find long-term solutions that give Israel security," he said.

Netanyahu gave no evidence to support his claim, and Hamas accused the Israeli leader of spreading propaganda to justify future attacks in Gaza.

"These remarks reflect the intention of the Zionist enemy to commit more crimes and more future aggression against our people, taking advantage of the American support and the Arab silence," said Fawzi Barhoum, a Hamas spokesman in Gaza.

"We emphasize that the Palestinian people have the right to defend themselves against any future aggression and this is a national and holy duty," he added.

Barhoum refused to say whether Hamas has anti-aircraft weapons.

Hamas has fired thousands of rockets and missiles into Israel in recent years, though it has largely refrained from attacks since Israel's offensive.

On Sunday, an Israeli airstrike killed two Gaza militants who Israel says were preparing to fire rockets over the Gaza border. The Israeli military said more than 165 rockets and mortar shells have been fired at Israel from Gaza so far this year, a significant drop from the numbers before the 2009 war.

Talks deadlocked
Hamas is a not a party to the newly restarted Israeli-Palestinian peace talks, which are currently deadlocked over Israel's refusal to extend restrictions on Jewish settlement construction in the West Bank.

The Palestinians say they won't negotiate if Israel resumes construction on occupied lands that the Palestinians claim for their hoped-for state. They have given the U.S. until early November, after American midterm elections, to try to resolve the dispute.

Palestinians charge that settlement building in East Jerusalem and the West Bank, areas Israel captured in a 1967 war, undermines efforts to build a viable, contiguous Palestinian state.

"The new construction is inconsequential. It has absolutely no effect on the map of a possible (peace) agreement," Netanyahu told reporters at the meeting with his Likud party.

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The end of Israel's partial construction freeze has led to renewed building in a handful of West Bank settlements amid U.S. opposition to such construction and Washington's diplomatic efforts to revive the negotiations.

A senior Israeli official said more extensive building plans for East Jerusalem had not been announced "to avoid sabotaging talks with the Americans" on salvaging peace efforts.

Palestinians want East Jerusalem as the capital of the state they hope to establish in the West Bank and Gaza Strip. Israel considers all of Jerusalem as its capital, a position that has not won international recognition.

Israel has insisted East Jerusalem was never part of its construction freeze, though many building plans in Israeli-annexed parts of the city were quietly put on hold after Washington was embarrassed by tenders leaked during a March visit by U.S. Vice President Joseph Biden.

President Barack Obama hopes to broker a peace agreement within one year.

Abbas gives rare interview
In a rare interview to an Israeli television station, Palestinian President Mahmoud Abbas appeared to make a significant gesture toward Israel. He said the Palestinians would be willing to end all historic claims against Israel if a Palestinian state is established on lands captured by Israel in the 1967 Mideast war.

Once the Palestinians have established their state inside the 1967 borders, "there is another important thing to end, the conflict, and we are ready for that, to end the historic demands," Abbas told Israel's Channel 1.

Though Abbas did not elaborate, this has typically alluded to the Palestinian demand for Palestinian refugees to have a right to return to their homelands inside what is now Israel.

An "end to the conflict" has traditionally been a key Israeli demand, since Israel fears the Palestinians will press for refugee rights even after the creation of their state instead of settling in the future Palestine, thus undermining Israel's Jewish character.

Netanyahu said he heard Abbas' words, but preferred to have the conversation face-to-face.

"The interview was given seven minutes away from here. A direct conversation can promote an agreement. In order for it to promote an agreement, we have to get over an artificial obstacle," he said.

The Associated Press and Reuters contributed to this report.

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